Diesel Car & Light Truck News

[Maxidyne]

Unusually long sentence for a white collar crime, and very unusual for an environmental violation. No wonder VW Group USA now kowtows to the EPA.

[kscarbel2]

I'm thinking that since the many other guilty individuals hid in Germany, out of US reach, the DOJ wanted to send a loud message using the one rat they were able to catch.

[kscarbel2]

Now you can begin to smell the secret back room deal. No convicted criminal in the US serves his/her time in a foreign prison.

This is a done deal, and he will be released early….in Germany.

Remember, Germany refused to turn over the other guilty individuals to US authorities.

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VW executive convicted in U.S. may seek transfer to Germany

Reuters  /  December 10, 2017

BERLIN  -- Volkswagen executive Oliver Schmidt, convicted in the U.S. for his role in the automaker's emissions scandal, may ask to serve his prison sentence in Germany, Welt am Sonntag reported.

Such a request would have to be approved by the U.S. Department of Justice as well as a German court.

Schmidt was sentenced on Wednesday to seven years in prison and fined $400,000, the maximum possible under a plea deal the German national made with prosecutors in August after admitting to charges of conspiring to mislead U.S regulators and violate clean-air laws.

Schmidt read a written statement in court acknowledging his guilt.

Welt am Sonntag quoted Schmidt's lawyer Alexander Saettele as saying that he was looking into a possible appeal.

The verdict "was not a surprise, but it was still disappointing to him that he was not able to get through to the judge," Saettele said.

"There are a number of matters that remain to be done and so the matter is still active and therefore I cannot comment," said David DuMouchel, a Detroit-based lawyer for Schmidt from law firm Butzel Long.

Schmidt also still faces possible disciplinary action at Volkswagen, including damages claims and termination of his contract, according to a company spokesman [the pot calling the kettle black].

"That is an integral part of the compliance guidelines of any company," the spokesman told Reuters on Friday.

In March, Volkswagen pleaded guilty to three felony counts under a plea agreement to resolve U.S. charges that it installed secret software in vehicles in order to elude emissions tests.

Schmidt was in charge of the company's environmental and engineering office near Detroit in Auburn Hills, Mich., until February 2015, where he oversaw emissions issues.

U.S. prosecutors have charged eight current and former Volkswagen executives.

VW is preparing to terminate Schmidt's employment on the legal basis that he has committed a criminal offense, Bild newspaper reported last week.

[kscarbel2]

Fiat Chrysler in talks over potential diesel emissions settlement

David Shepardson, Reuters  /  December 19, 2017

Lawyers for Fiat Chrysler Automobiles NV and owners of the automaker's diesel-powered vehicles are in settlement talks over allegations of excess diesel emissions, a court-appointed adviser said Tuesday.

In May, the Justice Department sued Fiat Chrysler, accusing the company of illegally using software that led to excess emissions in nearly 104,000 U.S. diesel vehicles sold since 2014. Numerous suits have been filed by vehicle owners.

Court settlement master Ken Feinberg said at a court hearing in San Francisco Tuesday that "term sheets" or proposed settlement documents have been exchanged between Fiat Chrysler and diesel owner lawyers.

Feinberg said the proposals were briefly discussed at a meeting Tuesday with the parties, along with the Justice Department, California Air Resources Board and German auto supplier Robert Bosch, which develops diesel vehicle systems, and has also been sued by diesel owners.

Feinberg said it was "a very healthy discussion on how we might get to yes." He added he would hold a day of settlement talks in Washington between the Justice Department and Fiat Chrysler in January, along with another day of talks between the automaker, Bosch and diesel owners.

There are parallel talks between the Justice Department and Fiat Chrysler and the company and diesel owners aimed at reaching settlements.

"We're looking for different substantive ways to secure an early comprehensive settlement," Feinberg said, adding a settlement could occur before testing on vehicles is completed in March. "Everybody in good faith is certainly trying to figure out how we might achieve a comprehensive settlement."

In July, Fiat Chrysler won approval from federal and California regulators to sell 2017 diesel vehicles after it came under scrutiny for alleged excess emissions in older diesel models.

Fiat Chrysler lawyer Robert Giuffra said in court the company remains confident it can use updated emissions software in the 2017 vehicles as the basis of a fix to address agencies’ concerns over 2014-16 diesel vehicles.

Justice Department lawyer Leigh Rende declined to comment in court on the settlement talks.

She said company testing on the proposed fix began on Dec. 17 and would take about three months. The government will then have 30 days to review the results and expects to make a determination by the end of April.

Regulators have said Fiat Chrysler diesel vehicles had undisclosed emissions controls that allowed vehicles to emit excess pollution during normal driving.

The company has denied wrongdoing, saying there was never an attempt to create software to cheat emissions rules.

Fiat Chrysler’s emissions case came after Volkswagen AG’s diesel emissions violations prompted increased industry scrutiny.

[kscarbel2]

Ford sued by truck owners claiming diesel engines were rigged

Bloomberg  /  January 10, 2018

Ford Motor Co. rigged at least 500,000 big pickup trucks to beat emissions tests, drivers claimed in a lawsuit, adding to the tally of carmakers linked to diesel-cheating allegations worldwide that started in 2015 with Volkswagen AG.

Ford’s F-250 and F-350 Super Duty diesel pickups, a slice of the top-selling F-series, are spewing emissions as much as 50 times the legal limit of nitrogen oxide pollutants, according to the complaint. The trucks sold from 2011 to 2017 cost $8,400 more than their gasoline-fueled counterparts, the filing shows.

Ford marketed the trucks as “the cleanest super diesel ever,” while the lawyer behind the suit said they should have been called “Super Dirty.”

“The vehicle’s own on-board diagnostic software indicates emission control system to be operating as Ford intended, even though its real world performance grossly exceeds the standard,” attorney Steve Berman, a managing partner at Hagens Berman, said in the complaint.

Ford worked with German automotive supplier Robert Bosch GmbH to mask the vehicles’ inefficiencies in order to maintain overall performance, according to the complaint filed Wednesday in Detroit federal court. Bosch is named as a defendant in the proposed class action.

“All Ford vehicles, including those with diesel engines, comply with all U.S. EPA and CARB emissions regulations,” Daniel Barbosa, a spokesman for Ford, said in an emailed statement on Wednesday. “Ford vehicles do not have defeat devices. We will defend ourselves against these baseless claims.”

Bosch, in its statement, said allegations against the company "remain the subject of investigations and civil litigation" and it takes allegations of diesel software manipulation "very seriously."

Last year, Bosch agreed to pay $327.5 million to U.S. owners of Volkswagen vehicles for its part in installing illegal emissions-cheating software.

Diesel questions 

Ford is at least the fifth carmaker accused of diesel cheating in the U.S., once again raising questions about the effectiveness of diesel technology. The dispute also casts a shadow on Ford’s F-series, the top selling line of vehicles in the U.S. every year since 1981.

The lawsuit could pose a risk to Ford’s plans to introduce a diesel engine in its smaller F-150 pickup for the first time. The automaker has said it expects the powertrain will boost fuel economy to 30 miles per gallon on the highway. That would confer significant bragging rights for Ford and potentially help its trucks outperform new models from General Motors and Fiat Chrysler Automobiles coming out this year.

Diesel engines, while more fuel efficient, produce greater volumes of nitrogen oxide pollutants, or NOx. During on-road testing the diesel trucks polluted at levels beyond legal limits and higher than their gasoline counterparts, according to the complaint.

The suit includes 58 alleged violations of state consumer law, false advertising and racketeering claims.

Bosch software 

Bosch is accused of developing software that enabled Ford to adjust fuel levels, exhaust gas re-circulation, air pressure and urea injection rates while being tested for emissions by regulators including the EPA and California Air Resources Board.

The formula built by Ford and Bosch allowed the Super Duty trucks to reverse the traditional order of exhaust treatment, putting catalytic reduction before the diesel particle filter. This allowed Ford to market both fuel efficiency and power in its vehicles without compromise. The reordering should have forced Ford to burn off the collected particles, sapping the vehicles’ efficiency. Instead the particles were released through the vehicles’ exhaust, according to the complaint.

Bosch faces similar accusations in cases against VW, Fiat Chrysler and GM. The Stuttgart, Germany-based supplier has denied any wrongdoing in those suits.

‘Normal Conditions’

In 2011, Ford embarked on a marketing campaign that promised “class leading fuel economy and towing capacity” tested more rigorously than its competitors. The campaign evolved over the years, and as recently as 2017, Ford’s vehicle brochures boasted of reduced NOx levels “in the real world” and “unsurpassed diesel fuel economy.”

“It is not plausible, given this ‘groundbreaking’ testing, that Ford and Bosch did not know that emissions controls do not work when the vehicle is operating in normal stop-and-go conditions, running under heavier loads, and going up modest to steep grades,” said Berman, who has represented drivers against VW, Fiat Chrysler and GM.

To meet environmental standards, the Super Duty pickups will probably require modifications that could reduce power, torque and fuel efficiency, according to the complaint. The current software system violates the U.S. Clean Air Act, the drivers claim.

Based on the responses of automakers that have previously dealt with such claims, Ford has at least three possible paths.

VW admitted to malfeasance before consumers sued the company in September 2015. The German automaker ultimately agreed to pay $24.5 billion in penalties and make a coordinated effort to fix or remove more than 500,000 diesel-cheating vehicles.

Fiat Chrysler has promised a modification to rectify a mistake that’s afflicted 150,000 of its vehicles. The company, some drivers of its diesel trucks and regulators will meet in January to discuss a possible deal aimed at settling a class action. Fiat Chrysler Chief Executive Officer Sergio Marchionne has been adamant that the company wasn’t trying to deceive regulators or circumvent clean-air rules.

GM has flatly denied allegations of wrongdoing in lawsuits against the company.

The case is Gamboa v. Ford Motor Co., 18-cv-10106, U.S. District Court, Eastern District of Michigan (Detroit).

[kscarbel2]

Ford sued by truck owners for diesel emissions cheating

Reuters  /  January 10, 2017

DETROIT - Ford Motor Co installed software that enabled its F-250 and F-350 Super Duty trucks to cheat at passing federal emissions tests, according to a lawsuit by truck owners filed on Wednesday, a claim the No. 2 U.S. automaker described as “baseless.”

Ford manipulated the emissions system in violation of federal requirements and the affected trucks released twice the legal limits of emissions during normal driving, the lawsuit claimed. An emission-cheating scandal that came to light in 2015 cost German automaker Volkswagen tens of billions of dollars in settlements and fines.

Ford said in a statement that all of its vehicles comply with all U.S. Environmental Protection Agency and California Air Resources Board emissions regulations.

“Ford vehicles do not have defeat devices,” the company said. “We will defend ourselves against these baseless claims.”

The law firm representing the owners, Hagens Berman, has launched lawsuits in the last year against General Motors Co and Fiat Chrysler Automobiles NV as well as engine maker Cummins Inc, making similar allegations.

In the tests Ford conducted on the F-250 and F-350 vehicles, “emissions are routinely as high as five times the standard,” the lawsuit said, quipping that the trucks should bear the moniker “Super Dirty.”

Erik Gordon, an expert in entrepreneurship and technology at the University of Michigan’s Ross School of Business, said that if true, the “allegations would expose Ford to the risk of billion-dollar liabilities and punch a hole in its attempts to position itself as a vehicle technology leader.”

The lawsuit, filed in U.S. District Court for the Eastern District of Michigan, also named German auto supplier Robert Bosch GmbH as a defendant.

In a statement Wednesday, Bosch said allegations against the company “remain the subject of investigations and civil litigation” and it takes allegations of diesel software manipulation “very seriously.”

Last year, Bosch agreed to pay $327.5 million to U.S. owners of Volkswagen vehicles for its part in installing illegal emissions-cheating software.

More recently, German prosecutors investigating whether carmaker Daimler AG manipulated emission tests on its diesel cars have looked at whether Bosch was involved.

[kscarbel2]

VW, Daimler, BMW sponsored diesel fume tests on humans

Bloomberg  /  January 29, 2018

MUNICH -- Volkswagen Group, Daimler and BMW took another blow amid revelations that they sponsored tests that exposed humans as well as monkeys to diesel exhaust fumes, which can cause respiratory illness and cancer.

The study, supported by a little-known group founded by the three automakers in 2007, had 25 people breathe diesel exhaust at a clinic used by the University of Aachen, the Stuttgarter Zeitung newspaper reported Monday.

The report, citing annual reports from the European Research Group on Environment and Health in the Transport Sector, or EUGT, which closed last year, followed a report from the The New York Times earlier that said the organization also conducted tests using monkeys.

Germany's auto industry, which is still reeling from Volkswagen Group's diesel-cheating scandal where the company rigged emissions tests, distanced itself from the organization.

"We are appalled by the extent of the studies and their implementation," Daimler said Monday in an emailed statement, adding it didn't have any influence over the study and promised an investigation. "We condemn the experiments in the strongest terms."

The revelations are another bombshell undermining diesel's image. The technology remains a key profit driver for German automakers, even as demand gradually slips in Europe, the main market for the diesel models.

The reports also weaken the automakers' position in its efforts to counter criticism of the technology as cities mull bans and German politicians weigh more stringent upgrades to lower pollution levels.

In an additional twist, the VW Beetle model used in the test with animals was among the vehicles rigged to cheat on emissions tests, The New York Times reported.

Volkswagen apologized for the misconduct and lack of judgment of some individuals, calling the trials with animals a mistake. VW on Monday again distanced itself from the activities of the group.

Stephan Weil, who represents the German state of Lower Saxony, a VW shareholder, on the supervisory board, said the board was pressing the automaker to urgently provide information about what the aim of the studies was.

"At the end of the day, the purpose of such experiments is the decisive factor. If for example, safety and health in the workplace were being tested, as Aachen University has suggested, and ethical standards were adhered to, it is defensible," Weil told a news conference on Monday.

"Where experiments served the purposes of marketing and sales, however, I cannot think of an acceptable justification for such an approach."

Aachen University had no immediate comment.

[kscarbel2]

The Germans........experiments.......on humans.

Not the first time (Dr. Josef Mengele).

[Maxidyne]

Other than maintaining experimental controls, there was no need for the experiment- There are indoor loading docks, train stations, and fire halls where the levels of diesel exhaust are probably higher than used in the experiment. Just measure the NOX levels and long term health effects and compare them with a control group and there's no need for an experiment.

[kscarbel2]

VW CEO calls diesel fume tests on monkeys 'repulsive'

Reuters  /  January 30, 2018

FRANKFURT -- Volkswagen Group CEO Matthias Mueller said tests in which monkeys were exposed to toxic diesel fumes were "unethical and repulsive," apologizing for the misconduct of those who were responsible for the study.

VW has come under fire after The New York Times reported last week that German carmakers had used an organization called European Research Group on Environment and Health in the Transport Sector, or EUGT, to commission the tests.

The study, conducted in 2014, was designed to defend diesel engines following revelations that the exhaust fumes were carcinogenic, the newspaper reported.

The revelation is the latest aftershock from the VW emissions-rigging cheating scandal, which continues to rock the auto industry.

"The methods used by EUGT in the United States were wrong; they were unethical and repulsive," Mueller said late Monday at a New Year's Reception in Brussels, in his first public remarks on the report. "I am sorry that Volkswagen was involved in the matter as one of the sponsors of EUGT."

Reuters could not confirm the details and purpose of the study. EUGT, which was dissolved last year, could not be reached for comment.

EUGT received all of its funding from VW and fellow German carmakers Daimler and BMW Group, The New York Times said.

Mueller said Volkswagen was investigating EUGT's work and would take necessary action based on its findings.

[kscarbel2]

Reminds one of German denial at the end of the war.

[kscarbel2]

U.S. Seeks Major Fines, Recalls in Fiat Diesel Settlement

Ryan Beene, Bloomberg  /  February 2, 2018

The U.S. Justice Department has offered to settle its emissions-cheating lawsuit against Fiat Chrysler Automobiles NV if the automaker recalls 104,000 vehicles and pays a substantial but unspecified civil penalty.

The proposed framework of an offer was extended to the Italian-American car company last week and included steps it would have to take to mitigate its past pollution and make internal changes to prevent future violations of environmental rules, according to a copy of the settlement offer obtained by Bloomberg News.

The settlement “must include very substantial civil penalties” large enough to deter future violations and that “adequately reflect the seriousness of the conduct that led to these violations,” Justice Department lawyers wrote in a Jan. 27 letter to Fiat Chrysler attorneys.

Spokesmen for the company didn’t respond to a request for comment. Fiat Chrysler’s U.S.-listed shares fell as much as 14 percent on the news and closed down 7.2 percent in New York trading Friday, the biggest drop since January 2017.

Reaching a final settlement would resolve civil violations of clean-air regulations laid out in a complaint filed May 23. The Justice Department said Fiat Chrysler had used illegal software to pass laboratory emissions tests while permitting its diesel vehicles to exceed pollution standards on the road.

The proposed settlement doesn’t include an end to a criminal investigation of the automaker by the Justice Department related to diesel emissions.

The civil complaint was filed in federal court on behalf of the Environmental Protection Agency and the California Air Resources Board and alleged violations of the Clean Air Act.

“We are engaging in conversations but I’m not involved in the settlement talks,” Mary Nichols, chair of the California Air Resources Board, said Friday at Bloomberg New Energy Finance’s The Future of Mobility Summit. “It’s interesting that Fiat Chrysler has the same team of lawyers representing them that worked with VW.”

The sides have been in talks for months under the direction of court-appointed settlement master Kenneth Feinberg. Feinberg declined to comment.

Fiat Chrysler has acknowledged in a term sheet the company earlier submitted to the government lawyers the need for a settlement to include civil penalties, an emissions fix for the diesel vehicles and environmental mitigation efforts, the letter said. The automaker proposed committing to projects to promote low- or zero-emissions “mobility projects” in the December term sheet, which the Justice Department said regulators would be willing to consider.

But, the letter cautioned, such projects are not the same as penalties and the government believes a “very substantial civil penalty payment is an essential element” of any deal to resolve the case. The parties have not yet discussed the value of any fines, according to a person familiar with the talks.

A recall would have to bring all of Fiat Chrysler’s vehicles into full compliance with emissions standards, the letter said. The case involves diesel-powered Jeep Grand Cherokee SUVs and Ram 1500 pickups from model years 2014-2016 that regulators allege were sold with emission software that violated U.S. clean-air rules.

The case followed one filed in late 2015 against Volkswagen AG. That case touched off the biggest scandal in modern automotive history when VW admitted that about 11 million diesel cars worldwide were outfitted with so-called defeat devices -- embedded algorithms used to game emissions tests.

VW’s costs from the scandal has reached about $31 billion in fines and related elements. Fiat Chrysler would likely pay less because Clean Air Act violations are assessed on the number vehicles affected. VW admitted to rigging more than 500,000 cars in the U.S. -- about five times the number Fiat Chrysler is alleged to have cheated with -- and did so over a longer period of time.

And unlike in the VW settlement, the terms under discussion between Fiat Chrysler and the U.S. don’t include a requirement to buy back any vehicles.

The diesel issue could cost Fiat Chrysler between $460 million and more than $1 billion, according to estimates made last year by Barclays Plc, Mediobanca SpA and Evercore ISI.

In December, Sergio Marchionne, the company’s chief executive officer, said he anticipated “manageable costs” from the diesel issue.

Unlike VW, Fiat Chrysler has denied intentional wrongdoing. Marchionne said he was outraged when the EPA brought its initial notice of violation against the automaker last year, calling the allegations “unadulterated hogwash.”

The settlement letter cites “compelling evidence” that Fiat Chrysler knew or had reason to know that the vehicles did not comply with clean-air rules and that the company misled regulators, calling the conduct “egregious.”

[kscarbel2]

VW seeks US emissions trial delay after ‘prejudicial’ documentary

The Financial Times  /  February 2, 2018

Carmaker claims linking of monkey experiment to Nazis renders fair hearing impossible

Volkswagen is arguing that an “inflammatory comparison” between a caged monkey experiment it sponsored and the Nazis has robbed it of the chance of a fair hearing in US trials related to its use of emissions-cheating software.

Last week, a Netflix documentary called Dirty Money depicted a diesel emissions experiment in 2014 in which trapped monkeys sucked in exhaust fumes from a Volkswagen Beetle while watching cartoons. The images are followed by video footage of Hitler to make an explicit comparison with the Holocaust.

In a court filing in the US on Friday, Volkswagen said the documentary misrepresented the experiment as “animal torture” and failed to mention that it had received approval from the Institutional Animal Care and Use Committee, an independent US review board to protect animals.

Michael Melkersen, a lawyer leading more than 300 cases against VW, uncovered the experiment and was quoted extensively in the documentary. His first case is set for trial on February 26.

In its filing, VW called for a six-month “cooling off” period before the trial to allow the “prejudicial publicity” to subside. Mr Melkersen’s case against VW Group of America in Virginia, home of the German carmaker’s US base, is the first of about 2,000 suits representing those who opted out of a multibillion-dollar collective settlement in 2016 for reparation in the emissions scandal.

He argues for citing the monkey experiment at trial on the basis that the Beetle in the study was rigged with emissions-cheating software, showing that Volkswagen “engaged in a pattern of concealment and nondisclosure”.

VW pleaded guilty last year to installing cheat software in more than 500,000 US cars. Damages from the scandal in North America have amounted to more than $25bn in fines, penalties and car buybacks. Car owners were given the option of selling their cars back to VW and were compensated by at least $5,100 each.

Mr Melkersen is seeking $725,000 for his first client.

VW on Friday asked for the trial to be delayed by six months, arguing that a delay was needed because of “the widespread and prejudicial publicity”, arising from the Netflix documentary.

“VW America cannot now, consistent with due process, litigate these cases in an atmosphere in which pretrial publicity has connected it directly with Hitler and the Holocaust and other horrors counsel has alleged through the media that have no relevance to these consumer fraud claims.”

The revelation of the experiment caused uproar in Germany. The three carmakers that financed the lobbying group that sponsored the study — BMW, Daimler and VW — have all distanced themselves from it. Each suspended an executive involved. VW apologised this week with Matthias Müller, chief executive, calling the test “unethical and repulsive”.

VW’s lawyers do not defend the monkey experiment as benign but argue that it is irrelevant to a consumer fraud case regarding the use of software to understate emissions in laboratory tests.

The monkey experiment results were never published, so it could not have contributed to alleged false advertising, VW claims.

The carmaker adds that Mr Melkersen had previously agreed “in advance of trial that he would not raise anything about inflammatory aspects of German history, which have no relevance to a consumer fraud case”.

In the documentary, Mr Melkersen alludes to Hitler and the founding of VW in 1937: “One cannot help to think back throughout history of another series of events involving individuals being gassed by a person who was actually at the opening of the very first Volkswagen factory.”

Mr Melkersen has previously argued that Volkswagen’s attempts to publish results of the monkey study in 2016 — after the emissions fraud was exposed — “directly contradicts [Volkswagen’s] claims of innocence and remorse for its ‘unknowing’ misconduct”.

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[kscarbel2]

FCA will drop diesel vehicles by 2022

Reuters  /  February 26, 2018

MILAN -- Fiat Chrysler Automobiles plans to eliminate diesel engines from all its passenger vehicles by 2022, amid a collapse in demand and spiraling costs for the powertrain, the Financial Times reported.

Under a four-year plan to be unveiled on June 1, the automaker will announce it intends to phase out the fuel type from the cars across its brands, the FT said, citing people familiar with the company strategy.

Fiat Chrysler declined to comment on the report.

FCA becomes the latest automaker to opt out of diesel after Toyota said it would likely not unveil another model with a diesel engine.

Diesel's dominance in Europe has fallen since Volkswagen Group's emissions scandal, which led to rising political opposition to the fuel and plans by several European cities to ban some diesel models from its streets.

[kscarbel2]

Australian study finds VW diesel using up to 14% more fuel in real world driving after emissions upgrade

Green Car Congress  /  March 12, 2018

Emissions analysis commissioned by the Australian Automobile Association (AAA) has found an affected VW diesel vehicle to be using up to 14% more diesel after being recalled for the mandated emissions system fix.

Conducted in partnership with the Fédération Internationale de l’Automobile (FIA), the real world testing was commissioned to quantify performance changes associated with the software upgrades being implemented on affected vehicles.

The recall fix was implemented by VW after 2015 when it was revealed that more than 11 million VW diesel vehicles had been sold with a defeat device installed, which detected when a vehicle’s engine was being tested and subsequently changed performance to improve emission results.

In late 2016, AAA commissioned research firm ABMARC to run two tests on an affected VW vehicle—one before recall and one immediately after.

The test result indicates that a 2010 model Euro 5 VW Golf used an average of 7% more fuel (0.5 liters/100 km) after it had the recall completed. This ranged from using 2% more fuel while driving in urban areas, 7% more fuel on rural roads and 14% while driving on highways.

The tests showed a reduction in emissions of NO_x carbon monoxide and particulate matter occurred after the recall fix. However, the NO_x emissions were still 4.11 times the laboratory limit after the recall when tested under real driving conditions.

The aim of the study was to determine the impact of the recall fix by comparing the real world pollutant emissions of the test vehicle to the respective laboratory limits and the fuel consumption to the official figures before and after the recall fix.

The results show that VW may have found a fix for reducing the level of noxious NO_x emissions but as a result, the amount of fuel used has increased. The testing also indicated that both power and torque had increased slightly after the recall fix. The testing further supports the AAA’s call for a real-world emission testing program in Australia.

The AAA has strongly advocated for the introduction of a real-world emissions test program following its own research program, which tested 30 Australian cars, on Australian roads, using Australian fuels.

An Australian real-world test program would allow consumers to make more informed purchasing decisions, and allow policy makers to ensure that regulatory settings reflect real-world conditions.

The AAA argues that there is no point in introducing tougher vehicle emissions standards in a laboratory setting unless information on real world performance is in the hands of consumers.

[kscarbel2]

Bosch claims a 'breakthrough' that could save diesel engines

Bloomberg  /  April 25, 2018

FRANKFURT -- Robert Bosch said its engineers have developed a diesel exhaust system that cuts emissions far below legal limits taking effect in 2020 and can help automakers avoid potential driving bans in Europe that threaten to doom the engine technology.

“This breakthrough offers the opportunity to shift the heated debate over diesel into new territory and, hopefully, bring it to a close," Bosch CEO Volkmar Denner said Wednesday at a press conference outside Stuttgart.

The German engineering giant, the biggest supplier of diesel engine technology to global automakers from Volkswagen to General Motors to Fiat Chrysler Automobiles, is stepping up the fight against eroding market share sparked by VW’s 2015 emissions cheating scandal. While tens of thousands of jobs hinge on the technology, customers increasingly are opting for gasoline engines as cities such as Paris and London consider imposing driving bans to improve air quality.

Automakers have relied on diesel to help the industry meet limits on carbon dioxide emissions, a contributor to global warming. But while it emits less CO2 than gasoline-fueled engines, the technology generates nitrogen oxides that help create harmful smog, a problem most acute in big cities.

Thermal management

Bosch’s new process optimizes thermal management of exhaust temperatures, slashing nitrogen oxide emissions to one-tenth of the legally permitted limit, and doesn’t require new hardware, Denner said. The system keeps emissions stable even at cold temperatures, he said.

“With this new exhaust technology, blanket driving bans in the centers of the world’s major cities will no longer be an issue. Why? Because we now have the technology to resolve the problem of nitrogen oxides in road traffic," Denner said.

Calling for transparency

Bosch’s role as leading global supplier has come under scrutiny as German prosecutors investigate potentially illegal diesel engine technology used by automakers to pass emission tests.

Denner reiterated that Bosch fully cooperates with the relevant authorities. He called for more transparency in emission tests for vehicles with combustion engines as well as electric vehicles to allow a realistic view of the exact impact on the environment.

He said the company is prohibiting technology that recognizes test cycles, and its products aren’t allowed to be optimized for test situations anymore. Regulators have stepped up efforts to narrow the gap between official emission labels based on lab tests and real driving emissions.

[kscarbel2]

Marchionne berated top spokesman for ruling out cheating devices

Bloomberg  /  May 14, 2018

Fiat Chrysler Automobiles CEO Sergio Marchionne berated a top company spokesman in 2015 for saying the company didn’t rig its vehicles with illegal software to pass emissions tests, according to documents filed in a related lawsuit.

An excerpt of the 2015 email from CEO Sergio Marchionne to Fiat Chrysler’s then-head of U.S. communications, Gualberto Ranieri, was revealed in federal court in Manhattan on Monday. The spokesman had issued a statement days after Volkswagen AG admitted to cheating on emissions tests that Fiat Chrysler did not use so-called defeat devices.

“Are you out of your goddam mind?” Marchionne wrote. He also said that the spokesman should be fired and called his actions “utterly stupid and unconscionable.”

The communication was produced by Fiat Chrysler in a lawsuit brought by shareholders in 2015 claiming the company misled investors about vehicle safety problems. The lawsuit, filed in federal court in Manhattan as a class action, claims that Fiat Chrysler failed to comply with U.S. vehicle safety laws, failed to submit required early warning information to U.S. regulators, delayed recalls, downplayed U.S. investigations and under-reported recall costs. The court has rejected attempts by Fiat Chrysler to dismiss the case.

Fiat Chrysler has denied intentional cheating on its diesel emissions.

“It is understandable that our CEO would have a forceful response to any employee who would opine on such a significant and complex matter, without the matter having been fully reviewed through the appropriate channels,” the company said in a statement. “This is particularly true given that the statements were made within only a few days of the Volkswagen diesel issue becoming public, and before a comprehensive internal review and discussions with component suppliers was possible.”

Ranieri went back to Italy in 2016 and continued to work for the company until earlier this year.

Marchionne and Scott Kunselman, former head of Chrysler’s vehicle safety and regulator compliance, are named defendants in the suit.

Pickups, SUVs

Separately, the U.S. Justice Department sued FCA in May 2017 alleging the company used illegal emissions software on diesel-powered pickups and SUVs to circumvent U.S. emissions tests. The government alleged Fiat Chrysler sold nearly 104,000 Ram 1500 pickup and Jeep Grand Cherokee SUVs with 3.0-liter diesel engines that contained defeat devices.

A defeat device allows a vehicle to pass government emissions testing while exceeding pollution standards under actual driving conditions. Marchionne has denied that the company intentionally tried to cheat on emissions standards, which Volkswagen admitted to doing in 2015.

FCA said in its statement Monday that while it’s in settlement talks with the government and private parties, it will “vigorously” defend itself against any claim that it intentionally cheated on emissions tests.

Emissions-cheating allegations were added to the original safety-focused investor suit in 2016. The initial complaint contended FCA stock slid nearly 5 percent in July 2015, when the company entered into a consent order with the National Highway Traffic Safety Administration admitting safety act violations and agreeing to pay a $105 million fine. Chrysler agreed to a second $70 million fine in December 2015, setting off another drop, according to the lawsuit.

Environmental compliance

The amended complaint tied additional share price drops to news alleging FCA used VW-like devices to make vehicles act differently while being tested for environmental law compliance than when in normal operation. The lawsuit claims FCA hid this from investors as well as regulators.

Citing internal FCA communications, the unsealed document names several employees and executives at the company who were involved in diesel vehicles and company communications with regulators regarding emissions compliance issues.

An October 2014 email showed multiple executives, including Kunselman, were aware that California regulators had identified defeat devices in Chrysler vehicles, for example.

The unsealed document also alleges that several employees knew the company’s diesel vehicles contained defeat devices before regulators made their concerns public. In one example, the document alleges a Chrysler employee claimed to have alerted upper management that diesel engines contained such devices and indicated that a description of an emissions control strategy the company provided to regulators was inaccurate in internal messaging communications in 2014.

“I brought this up some time back and I got push back,” wrote the employee, listed in the document as working on on-board diagnostics documentation for diesels. “Lol emissions guys are cheaters, and they know it.”

In a statement, Fiat Chrysler said the emails cited in the document have already been provided to regulators and that the company continues to cooperate with the ongoing probes into its diesels.

“It is inappropriate to draw conclusions from isolated communications and internal deliberations, without the more detailed context that is part of the reviews FCA is conducting as part of the investigation process,” the company said.

The case is entitled Koopman v. Fiat Chrysler Automobiles N.V., 15-cv-07199, U.S. District Court, Southern District of New York (Manhattan).

[Maxidyne]

Again, the media blames the diesel maker when the real problem is the U.S.' odd ball and excessive emissions standards- We should adopt the Euro standards like the rest of the world. And given that all of the U.S. was in compliance with particulate and other diesel emissions levels except for a few metro areas, we could probably revert to Euro 4 in most of the country. That would be better for the environment, because the older emmission standards allow diesels to run on higher concentrations of biodiesel which reduces Green House Gasses.

[Mack Technician]

Last December I went out for a night with three guys from Liehberr. Lead mechanic, a district rep and a field rep from Germany named ”Oygun” who came to hash out a chronic problem with our LH60. The German listed three things he dislikes about America. 

1.California Emissions

2. Over-the-top safety policies

3. American Trucks

We fought over #3 for a good hour. He recanted and said our non-modular trailer are archaic and that’s what he dislikes mostly. That lead to an infrastructure discussion. 

He said they feel like one state, California, is leading the world around by it’s nose. It is a case of “if you want to do business here your going to make California happy”. 

Edited May 15, 2018 by Mack Technician

[kscarbel2]

Fiat Chrysler emails suggest alleged diesel emissions violations surfaced in 2010

Bloomberg  /  May 19, 2018

Suppliers to Fiat Chrysler Automobiles discussed alleged illegal use of software to pass emissions tests in 2010, according to emails disclosed in federal court in San Francisco.

Fiat Chrysler wanted to use software in its diesel engines that was capable of “cycle detection,” meaning it could sense when the vehicle was undergoing emissions evaluations and activate controls to pass tests, Sergio Pasini, the controls and calibration director at supplier VM Motori, wrote in a 2010 email to colleagues. An employee within the automaker’s powertrain division had tried to convince him the software, called “t_engine,” didn’t count as cycle detection.

The automaker’s emissions control “will be managed mainly on t_engine which is, no matter what Fiat says, a cycle detection,” Pasini wrote in an email, according to a court document that was unsealed on Wednesday.

The lawsuit, filed on behalf of consumers as a class action, claims that Fiat Chrysler misled buyers of its Jeep Grand Cherokee sport utility vehicles and Ram 1500 pickups by touting the fuel economy and performance of its EcoDiesel engines while cheating on emissions tests to win regulatory approval. Fiat Chrysler has denied intentionally trying to skirt pollution rules with defeat devices in its diesel vehicles.

“We continue to cooperate with various governmental investigations related to diesel emissions, and emails such as those referenced have been previously provided to the agencies,” Fiat Chrysler said in an emailed statement. “It is inappropriate to draw conclusions from isolated communications and internal deliberations, without the more detailed context that is part of the reviews FCA is conducting as part of the investigation process.”

Diesel scandals

Fiat Chrysler is defending itself against allegations reminiscent of Volkswagen’s 2015 admission that it had rigged some 11 million diesel vehicles to pass emissions tests, sending shock waves through the industry. The German carmaker has earmarked more than 25 billion euros ($30 billion) to pay fines, settlements and other costs. The scandal has compromised demand for diesel cars and put other manufacturers under a cloud of suspicion and regulator scrutiny.

In Fiat Chrysler’s case, the EPA and California Air Resources Board alleged in January 2017 that the company equipped diesel-powered pickups and SUVs with emissions software that violated clean-air laws. The agencies alleged the diesel engines contained auxiliary emissions control devices that affect pollution performance, and that the company failed to disclose this to the agency as required by law.

The Justice Department sued Fiat Chrysler in May 2017, asserting more serious allegations. The civil lawsuit alleged that 2014 to 2016 model year Jeep Grand Cherokee SUVs and Ram 1500 pickups had diesel engines rigged with defeat devices to mask true pollution levels in lab tests while exceeding legal limits in real-world driving.

Automakers are legally allowed to use emissions-control software to help engines run properly. What made the software that VW used defeat devices were computerized systems that activated pollution controls to pass tests but improperly disabled them during regular driving.

'Compelling evidence'

A settlement offer presented to Fiat Chrysler by the Justice Department in January cited “compelling evidence” that the company knew or had reason to know that the diesel engines didn’t comply with clean-air laws and had misled regulators to win their approval to sell the vehicles. Justice Department lawyers wrote that multiple Fiat Chrysler vendors and employees had warned that defeat devices were being used in the diesel pickups and SUVs.

In 2012, another VM Motori employee, Emanuele Palma, wrote to colleagues that Fiat Chrysler “knows tEng is the only way to get to 30 mpg, so don’t worry about this topic.” The automaker touted the 30 miles per gallon highway gas mileage in marketing materials for the 2014 Jeep Grand Cherokee.

The lawsuit alleges that another supplier, Robert Bosch GmbH, warned VM Motori that the so-called t_engine software was an emissions defeat device, and that they could face “serious penalties” if it was discovered by regulators. Bosch, the biggest supplier of diesel-engine technology to global automakers, remains under investigation over its role in the VW scandal. VM Motori responded that it was “working closely with Chrysler” and the feedback about the software “is positive.”

Fiat Chrysler bought a 50 percent stake in VM Motori in 2011, and purchased the remaining shares from General Motors Co. in 2013.

The complaint with sealed material was filed April 23, then re-filed Wednesday with redacted portions that were newly visible.

The lawsuit filed in federal court in San Francisco is a proposed nationwide consumer class action to cover owners or lessees of more than 100,000 EcoDiesel Ram 1500s and Jeep Grand Cherokees that were equipped with a technology called “selective catalytic reduction,’’ or SCR, to reduce nitrogen oxide emissions.

Separate suit

In a separate lawsuit brought by shareholders in 2015 claiming the company misled investors about vehicle safety problems, an unsealed document filed in federal court in Manhattan on Monday alleged that several employees knew the company’s diesel vehicles contained defeat devices before regulators made their concerns public.

The document alleged that a Fiat Chrysler employee claimed to have alerted upper management that diesel engines contained such devices and indicated that a description of an emissions control strategy the company provided to regulators was inaccurate in internal messaging communications in 2014.

Fiat Chrysler said it has begun settlement mediation with “several governmental and private parties that have commenced civil litigation” against the company, according to its statement. The automaker said it’ll “defend vigorously against any claims that FCA US engaged in any deliberate scheme to install defeat devices or to cheat emissions tests.”

[kscarbel2]

GM powertrain exec says diesels can be saved

Christiaan Hetzner, Automotive News  /  June 8, 2018

TURIN – Tumbling diesel sales in Europe do not signal a grim future for the technology, General Motors powertrain executive Pierpaolo Antonioli said, citing new evidence suggesting nitrogen oxide emissions can be cut to an absolute minimum.

GM, which kept its Turin [diesel engine] engineering center despite selling Opel/Vauxhall to PSA Group (Peugeot/Citroen) last year, was first to market a truck with an EPA-certified 30 mpg highway rating with the diesel versions of the Chevrolet Colorado and GMC Canyon.

In January, the automaker announced a 3.0-liter inline-six turbodiesel planned for the next-generation Chevrolet Silverado.

“Internal combustion engines, including the diesel, can still play a role in the years to come," Antonioli, who bears global responsibility inside GM for development of diesel engines, said Wednesday at the Automotive News Europe Congress here during a panel discussion titled “What is the Future of Diesels?”

“Bosch said just a few weeks ago that they can already achieve very low emissions, especially for NOx, without increasing the cost of the combustion system,” Antonioli said.

Robert Bosch, the world’s largest auto parts manufacturer and a leading supplier of diesel injection systems, said it has developed a method to cut on-road NOx emissions to just 13 milligrams per kilometer, far below the 80 mg/km test bench limit under Euro 6 regulations and the 168 mg/km limit that takes effect in September as part of the introduction of RDE real-world testing.

Sales of diesels continue to plunge after threats in February 2017 of potential diesel bans in Germany. In May, domestic registrations of diesels amounted to just 31.5 percent of the overall figure in Europe’s largest car market. This was the second-lowest level in Germany since the outbreak of the crisis, as news of Hamburg’s first ban helped suppress demand.

Diesel adoption rates in the U.K. were not much better at a 32.5 percent share.

Greg Archer, a director responsible for clean vehicles policy at the Brussels-based advocacy group Transport & Environment, said the industry had only itself to blame because of a comprehensive abuse of regulatory loopholes.

“The blame lays not only on Volkswagen but every OEM that thought thermal windows and other strategies to turn down their exhaust treatment systems’ effectiveness were legitimate -- they,” said Archer, an avowed diesel opponent. “The more your lawyers try to defend the indefensible, the more the brand and the product are discredited.

“The pain is not ending. It will go on and on, and the bans will proliferate unless OEMs constructively engage to sort out the mess.”

To redeem their reputation, Archer recommended four initiatives. First, carmakers should clean up the 40 million Euro 5 and Euro 6 diesels on the road, including making hardware modifications. Then they need to support new regulations, such as Euro 7 emissions standards, which ensure diesels pollute no more than gasoline-powered cars.

Third, a Europe-wide fund must be introduced to financially support cities’ clean-air plans. Last, the automakers should submit their cars to the scrutiny of credible, nonpartisan organizations that independently test diesels.

“Diesel won’t disappear in Europe,” Archer said, “but whether the market share in 2025 is 10 percent or 30 percent depends on how the industry responds to the crisis.” 

[Red Horse]

40 minutes ago, kscarbel2 said:

GM powertrain exec says diesels can be saved

Christiaan Hetzner, Automotive News  /  June 8, 2018

TURIN – Tumbling diesel sales in Europe do not signal a grim future for the technology, General Motors powertrain executive Pierpaolo Antonioli said, citing new evidence suggesting nitrogen oxide emissions can be cut to an absolute minimum.

GM, which kept its Turin [diesel engine] engineering center despite selling Opel/Vauxhall to PSA Group (Peugeot/Citroen) last year, was first to market a truck with an EPA-certified 30 mpg highway rating with the diesel versions of the Chevrolet Colorado and GMC Canyon.

In January, the automaker announced a 3.0-liter inline-six turbodiesel planned for the next-generation Chevrolet Silverado.

“Internal combustion engines, including the diesel, can still play a role in the years to come," Antonioli, who bears global responsibility inside GM for development of diesel engines, said Wednesday at the Automotive News Europe Congress here during a panel discussion titled “What is the Future of Diesels?”

“Bosch said just a few weeks ago that they can already achieve very low emissions, especially for NOx, without increasing the cost of the combustion system,” Antonioli said.

Robert Bosch, the world’s largest auto parts manufacturer and a leading supplier of diesel injection systems, said it has developed a method to cut on-road NOx emissions to just 13 milligrams per kilometer, far below the 80 mg/km test bench limit under Euro 6 regulations and the 168 mg/km limit that takes effect in September as part of the introduction of RDE real-world testing.

Sales of diesels continue to plunge after threats in February 2017 of potential diesel bans in Germany. In May, domestic registrations of diesels amounted to just 31.5 percent of the overall figure in Europe’s largest car market. This was the second-lowest level in Germany since the outbreak of the crisis, as news of Hamburg’s first ban helped suppress demand.

Diesel adoption rates in the U.K. were not much better at a 32.5 percent share.

Greg Archer, a director responsible for clean vehicles policy at the Brussels-based advocacy group Transport & Environment, said the industry had only itself to blame because of a comprehensive abuse of regulatory loopholes.

“The blame lays not only on Volkswagen but every OEM that thought thermal windows and other strategies to turn down their exhaust treatment systems’ effectiveness were legitimate -- they,” said Archer, an avowed diesel opponent. “The more your lawyers try to defend the indefensible, the more the brand and the product are discredited.

“The pain is not ending. It will go on and on, and the bans will proliferate unless OEMs constructively engage to sort out the mess.”

To redeem their reputation, Archer recommended four initiatives. First, carmakers should clean up the 40 million Euro 5 and Euro 6 diesels on the road, including making hardware modifications. Then they need to support new regulations, such as Euro 7 emissions standards, which ensure diesels pollute no more than gasoline-powered cars.

Third, a Europe-wide fund must be introduced to financially support cities’ clean-air plans. Last, the automakers should submit their cars to the scrutiny of credible, nonpartisan organizations that independently test diesels.

“Diesel won’t disappear in Europe,” Archer said, “but whether the market share in 2025 is 10 percent or 30 percent depends on how the industry responds to the crisis.” 

I wonder what percentage of Bosch's business is diesel related?  They may have very good reason to get very creative.

[kscarbel2]

Germany orders Daimler to recall 774,000 diesels in Europe

Bloomberg  /  June 11, 2018

Daimler AG was ordered to recall 774,000 vehicles in Europe after two meetings with Germany’s top regulator failed to allay concerns about irregularities in the Mercedes-Benz maker’s diesel emissions.

The carmaker will upgrade engine software in Vito vans as well as the GLC SUV and C-Class sedan, Transport Minister Andreas Scheuer said Monday in a statement from Berlin, after meeting with Daimler CEO Dieter Zetsche for a second time in two weeks.

The government is ordering “an immediate formal recall because of prohibited shutoff devices,” Scheuer said.

While a setback for a company that’s steadfastly denied cheating on diesel emissions, the software-focused recall means Daimler escaped more costly measures such as fines or a hardware fix. Speaking with reporters after the announcement, Zetsche said talks with the government had been “constructive.”

Government pressure

Germany has ratcheted up pressure on Daimler to specify models and the number of vehicles that needed recalling to adjust their exhaust systems, criticizing the company’s piecemeal response to concerns about excessive pollution from its diesel vehicles. The recall comes nearly three years after Volkswagen AG’s sweeping emissions violations.

Unlike VW, which admitted duping official emissions tests and faces costs of some 26 billion euros ($31 billion) in fines, buybacks and recalls globally, Daimler has rejected wrongdoing. As the diesel fallout rumbles on, German prosecutors also on Monday named Rupert Stadler, head of VW’s Audi unit, a suspect in the cheating scandal.

Unapproved functions

Germany’s automotive regulator KBA found five unapproved software functions in Daimler’s Euro 6 diesel engines, affecting as many as 1 million vehicles in Germany, Bild am Sonntag reported Sunday. This follows the KBA instructing the carmaker in May to recall 4,923 Vito vans worldwide that don’t comply with regulations.

Daimler at the time said it would go to court if necessary to overturn the order. The company said Monday it’s considering an appeal. The models aren’t currently available in the U.S., according to the brand’s U.S. site.

“We don’t see any evidence that Daimler was designing software to deliberately cheat on emission testing,” said Arndt Ellinghorst, an analyst with Evercore ISI in London, who estimated the cost to be less than 100 million euros. “With this recall, fines are off the table.”

Daimler already voluntarily recalled some 3 million vehicles in the EU last year, alongside similar moves by VW and BMW, for software updates to improve emissions performance.

Liberal interpretations of loose European Union rules on car emissions, ultimately resulting in many cities failing EU pollution limits, have led to a number of spats between authorities and carmakers. Daimler relies on diesel vehicles for profit and to lower the carbon-dioxide output of its vehicles to meet environmental regulations.

Threat of fine

Scheuer had threatened the carmaker with as much as 3.75 billion euros in penalties related to diesel-engine emissions irregularities, Spiegel magazine reported following Zetsche’s earlier meeting. For context, during previous standoffs on diesel practices, the ministry failed to make much headway on holding carmakers accountable.

In 2016, Opel, then owned by General Motors Co., didn’t end up facing sanctions after then-Transport Minister Alexander Dobrindt raised doubts about the legality of devices used in its engine software. The same year, Fiat Chrysler Automobiles NV snubbed Dobrindt’s request for a meeting to discuss emissions.

The country’s automotive industry has been under intense scrutiny since Volkswagen revealed in September 2015 it had rigged as many as 11 million diesel-powered cars to cheat on official emissions tests.

Municipalities, battling excessive levels of smog-inducing nitrogen oxide mainly produced by diesel vehicles, have been considering bans. Hamburg made the first move last month with restrictions on two streets. Mercedes recalled more than 3 million cars across Europe almost a year ago for a software patch for their emissions systems.

[kscarbel2]

Audi CEO Stadler arrested

Reuters  /  June 18, 2018

FRANKFURT -- Munich prosecutors said that Audi CEO Rupert Stadler was arrested on Monday because investigators saw the risk that he might seek to suppress evidence in connection with a diesel emissions probe.

Volkswagen's supervisory board has nominated sales and marketing head Bram Schot, 56, as interim CEO at Audi.

VW’s supervisory board plans to suspend Stadler.

"As part of an investigation into diesel affairs and Audi engines, the Munich prosecutor's office executed an arrest warrant against Professor Rupert Stadler on June 18, 2018," the Munich prosecutor's office said.

A judge in Germany has ordered that Stadler, 55, be remanded in custody, it said, to prevent him from obstructing or hindering the diesel investigation.

The prosecutors' office last week widened its emissions-cheating probe against Audi to include Stadler among the suspects accused of fraud and false advertising.

Volkswagen Group and Audi confirmed Stadler's arrest this morning, adding that the presumption of innocence applied to Stadler's case.

Munich prosecutors and Stadler himself were not immediately available for comment.

A spokesman for Porsche SE, the company that controls VW and Audi, said Stadler's arrest would be discussed at Monday's board meeting.

VW admitted in September 2015 to using illegal software to cheat U.S. emissions tests on diesel engines, sparking the biggest crisis in the company's history and leading to a regulatory crackdown across the auto industry.

The U.S. filed criminal charges against former VW CEO Martin Winterkorn in May, but he is unlikely to face U.S. authorities because Germany does not extradite its nationals to countries outside the European Union.

The Munich prosecutors said Stadler's arrest was not made at the behest of U.S. authorities. The executive was arrested at his home in Ingolstadt, in the early hours on Monday.

The Munich public prosecutor's office said last week it was investigating 20 suspects, and that it had searched the apartment of Stadler and one other current board member.

The second suspect is Bernd Martens, Audi's head of purchasing. Martens led a diesel task force at Audi, which was set up to coordinate the handling of the crisis with the parent company.

In the U.S., Audi sales have been on a hot streak for more than eight years under the watch of Stadler, who became brand head in 2007. In May, the brand recorded its 103rd straight month of year-over-year sales increases.

[kscarbel2]

A lot of people being thrown under the bus to protect one "untouchable" man.......Herr Piech.