Dec 11, 2015

    VW to revamp structure to avoid future scandals


    VOLKSWAGEN (VW) has agreed steps to improve oversight of engine-software development to avoid future manipulations after its admission of cheating United States diesel-emissions tests caused the biggest business crisis in the German car firm's history.

    VW said it was also planning to bring in a new corporate structure that would be in place across the entire group by early 2017.

    Europe's biggest carmaker launched internal and external investigations in September after admitting to cheating US emissions tests.

    "No business justifies crossing legal and ethical boundaries," chairman Hans Dieter Poetsch told a news conference at the VW's headquarters in Wolfsburg yesterday.

    "Even though we cannot prevent misconduct by individuals once and for all, in future it will be very difficult to bypass our processes."

    Mr Poetsch said the external investigation by US law firm Jones Day was making good progress but would need time to reach conclusions. He said VW would not name any individuals involved yesterday but it was likely only a limited number of people took part in the deception.