WOLFSBURG, Germany, Sept. 22 (UPI) — Volkswagen estimates about 11 million diesel vehicles worldwide are using software at the center of the recent U.S. emissions scandal, into which the Department of Justice launched an investigation.
The company announced Tuesday it was allocating $7.3 billion to handle service costs and other expenses related to the emissions scandal affecting diesel-powered vehicles.
“Volkswagen is working at full speed to clarify irregularities concerning a particular software used in diesel engines,” Volkswagen said in a statement. “Discrepancies relate to vehicles with Type EA 189 engines, involving some 11 million vehicles worldwide. A noticeable deviation between bench test results and actual road use was established solely for this type of engine. Volkswagen is working intensely to eliminate these deviations through technical measures.”
The Department of Justice has launched a criminal investigation into Volkswagen’s conduct — testing the department’s promise to hold individuals accountable for corporate criminal conduct, CBS News reported.
“It is and remains the top priority of the Board of Management to win back lost trust and to avert damage to our customers,” Volkswagen added.
On Friday, the German automaker received a notice of violation of the U.S. Clean Air Act. The Environmental Protection Agency said the affected Volkswagen vehicles were equipped with software that lowered emissions to legal levels during standard emissions tests. Before and after the tests, though, the vehicles’ emissions would remain at illegal levels.
The EPA ordered the recall of 482,000 diesel-powered vehicles from Volkwagen and Audi, accusing the auto-makers of violating federal emission regulations. The company faces up to $18 billion in fines.
Volkswagen subsequently placed a freeze on all sales of its diesel-powered vehicles in the United States. The company’s stock plummeted from about $162 dollars per share on Friday to a low of $101 dollars per share on Monday.
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