Volkswagen's Former CEO, Former Audi CEO to Pay Compensation Over Emissions Scandal
09 June 2021 - 10:10PM
Dow Jones News
By Kim Richters
Volkswagen AG said Wednesday that former executives including
its former chief executive officer would settle claims connected to
the car maker's diesel scandal as part of a 288 million-euro($350
million) agreement.
Former Volkswagen CEO Martin Winterkorn and former Audi CEO
Rupert Stadler agreed to compensate the car maker in relation to
the scandal that erupted in 2015. Mr. Winterkorn agreed to pay 11.2
million euros and Mr. Stadler agreed on compensation of EUR4.1
million.
Volkswagen said Mr. Winterkorn had breached his duties of care
as former CEO when he failed to "comprehensively and promptly
clarify the circumstances behind the use of unlawful software
functions" in some diesel-engine cars between 2009 and 2015. Mr.
Stadler also breached his duties, it said.
Volkswagen will also receive EUR270 million from its
directors-and-officers liability insurance.
The payments are related to Volkswagen's investigation into the
causes of the diesel emissions fraud that cost the company
billions.
The supervisory boards of Audi and Porsche AG also examined the
probe results and reached an agreement with the former member of
the board of management of Audi, Stefan Knirsch, for EUR1 million
and with former Porsche board member Wolfgang Hatz for EUR1.5
million.
Volkswagen said it didn't reach an agreement with former member
Audi management board member Ulrich Hackenberg and its Audi
subsidiary was preparing legal steps.
Write to Kim Richters at kim.richters@wsj.com
(END) Dow Jones Newswires
June 09, 2021 07:58 ET (11:58 GMT)
Copyright (c) 2021 Dow Jones & Company, Inc.
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