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Martin Winterkorn: The former Volkswagen boss must again face the public prosecutor's office on suspicion of market manipulation
Photo: Sean Gallup/ Getty Images
The emissions scandal about manipulated diesel engines at Volkswagen is catching up with former CEO Martin Winterkorn (76). The Braunschweig Regional Court reopened the proceedings on suspicion of market manipulation, the court announced on Thursday. It was initially unclear when the trial would begin.
In the indictment filed by the Braunschweig public prosecutor's office in September 2019, the defendant is accused of failing to inform the capital market in good time about the installation of an impermissible defeat device in diesel engines. At the beginning of January 2021, the proceedings against Winterkorn, who had to resign after the diesel scandal came to light in 2015, were temporarily discontinued due to illness.
Regional Court Changes Direction
At the time, the Chamber justified its decision with the so-called NOx procedure, among other things, because of the accusation of commercial fraud. The expected penalty in the proceedings would not be significant in comparison. Winterkorn had rejected the accusations against him and asserted that he had known nothing about illegal activities before the manipulations became known.
So far, it has not been possible to hear a case against Winterkorn in the NOx proceedings because, according to the court, he was unable to do so due to his health. Therefore, at the request of the public prosecutor's office, the Regional Court is now reopening the proceedings on suspicion of market manipulation. In addition, according to its own statements, the chamber has now come to the conclusion that the penalty for violation of the Securities Trading Act could have an effect after all.
Four Volkswagen managers have already been on trial before the Regional Court since September 2021. Ex-Audi boss Rupert Stadler (60) was already sentenced to a suspended sentence in Munich in June.
Diesel scandal brought billions of dollars in burdens for VW
In mid-December, the Braunschweig Regional Court also dropped the charges against seven other employees of the VW Group. They are accused of fraud in a particularly serious case, as well as a violation of the law against illicit competition. In the case of some of the defendants, there is also a possible tax evasion. The court did not name the defendants.
The autumn of 2006, in which the deliberate deception is said to have begun, came at a time when VW was trying to catch up with competitors in the difficult US market. With a major marketing offensive on "Clean Diesel", more customers were to be won.
In September 2015, it was revealed that instead of using more expensive exhaust technology, the company falsified the readings with the help of hidden software codes. These ensure that tests have been completely cleaned, but that many times the emissions are produced in road use. The revelation of the scandal plunged VW into the most serious crisis in its history. The carmaker estimated the costs for the "consequences of the diesel issue" at around 32 billion euros.
rei/DPA