11 million Volkswagen (VW) vehicles were spotted erupted over the violation of US Environmental Protection Agency. According to sources, VW was keeping aside the covering costs of this scandal which is found to be €6.5 billion.
After arrival of this report, boss of VW, Michael Horn confessed the fact and said ‘totally screwed up’ while using software to violate emission tests. On Tuesday, it was observed that there was down in market shares more than 20 percent. The provision of this scandal would be featured in profit and loss statement in next quarter of this financial year. However, the amount estimation is subject to re-evaluation.
What Investigations Say?
Finance Minister of France has iterated for an inquiry but an industry spokesperson in UK exclaimed that there was no proof of cheating.
Motor Manufacturers and Traders in Europe uttered that they have adopted a different system from United States with strict regulations and were observed by Government appointed approval agency. However, the relevant authority Vehicle Certification Agency in UK said that the prevalent methods for gas emissions have gone outdated and we need an updated version which would be more representative of on-road conditions.
However, the French federation of carmakers said- ‘this inquiry would permit the French carmakers to comply the procedures for approval in all the nations wherever they operate.
The Tough Call for VW
On Friday, Volkswagen had a tough order to recall the cars in United States. In addition, VW is entitles to pay a heavy penalty in the form of Billions Dollars and there could be criminal charges against executives of VW.
After the reports, VW stopped selling its cars in US. But the firm has also called an external investigation though it is unveiled who would be investigator.