The Business Times

German prosecutors launch tax evasion probe at VW: media

Published Tue, Nov 24, 2015 · 12:15 PM

[FRANKFURT] German public prosecutors have launched an investigation into suspected tax evasion in connection with the emissions scandal that has rocked carmaker Volkswagen, daily paper Sueddeutsche Zeitung and broadcasters NDR and WDR said in a joint report.

The investigation focuses on five Volkswagen employees and concerns several million euros of evaded tax payments linked to rigging of CO2 emissions, they said on Tuesday, citing a spokesman for prosecutors in Braunschweig near Volkswagen's headquarters in Wolfsburg.

Europe's largest automaker admitted on Nov 3 that carbon dioxide emissions data of some 800,000 cars were false and said compensation payments to customers and other costs related to the malfeasance could amount to 2 billion euros (S$3.01 billion).

A car's level of CO2 emissions helps determine how much tax car owners must pay every year.

REUTERS

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