An unnamed State Department employee and the manager of a northern Virginia repair shop appropriated and sold government vehicles for profit, the U.S. Department of Justice revealed Thursday.
The kickback scheme, detailed in a release from the U.S. Attorney’s Office, saw over a dozen State Department motor pool SUVs and a truckload of tires and wheels sold through a collision repair shop in Springfield, Virginia. The shop, Car Collision Center, is the go-to repair facility for various government departments.
It also has a license to sell vehicles. (Read More…)
The United States has now laid charges against six former or current Volkswagen officials for their role in the diesel emissions scandal.
A federal grand jury in the Eastern District of Michigan returned an indictment today, fingering the execs for playing key roles in a decade-long conspiracy to deceive the U.S. government and public. While five of the men live in Germany, one man — Oliver Schmidt, former head of VW’s regulatory compliance department — was nabbed by the FBI in a Miami airport on Saturday while attempting to return to Germany.
As the charges were handed down, the embattled automaker pleaded guilty to three criminal federal counts and agreed to pay $4.3 billion in criminal and civil penalties. (Read More…)
A former employee, who was fired after news of Volkswagen’s diesel emissions scandal broke, is claiming in a lawsuit that he was let go from the automaker after noticing data related to the scandal was being deleted, several German language outlets are reporting (via Automotive News).
The lawsuit, filed by a former employee of Volkswagen Group of America, is the first possible evidence made public so far of a good, old fashioned cover up on this side of the Atlantic.
That happy couple at the car dealership, back by popular demand.
Since we last reported on the Consumer Financial Protection Bureau (CFPB) and its controversial crusade to uncover racial discrimination by car dealers on interest rate markup on automobile loans, the agency has ordered over $100 million in fines and settlements against banks that some have deemed extortion. This has infuriated lenders and car dealers, and has frustrated lawmakers on both sides of the aisle.
The tale continued last week as the House Committee on Financial Services revealed that their work on this case now includes trying to get the CFPB and Department of Justice to agree on that age-old problem on how to get white car buyers to admit that they are actually white.
Let us review this investigation, which recently prompted the House committee to publish a report about the CFPB probe, titled “Unsafe at Any Bureaucracy: CFPB Junk Science and Indirect Auto Lending.”
It was the early 2010, the Toyota witch hunt was in full swing. While Toyota executives were burnt at the stake grilled on the Hill, Denso’s U.S. offices were raided by the FBI. Denso is a major automotive parts supplier, and a member of the Toyota family. The raid was part of an on-going investigation into alleged anti-trust violations. Or so they said.
After the NHTSA, NASA and the National Academy of Sciences could not find a ghost in the machine, the Department of Justice also cleared out its case file. For a fee. (Read More…)
Last week, we shared with you an ingenious method of the U.S. Department of Justice to contribute to the deficit-afflicted holdings of the U.S. Treasury. The method involves shaking down foreign companies who grease the wheels to get deals in even more foreign lands. Or who even think about greasing the wheels. Caught between European laws and U.S. laws, these companies pay and promise to sin no more. (Read More…)