Volkswagen CEO Matthias Mller Under Investigation for Diesel Knowledge

Matt Posky
by Matt Posky

Volkswagen Group CEO Matthias Müller is under investigation in Germany over the possibility he withheld important information on the company’s emissions scandal to investors, as well as potential market manipulation relating to Porsche. While public prosecutors continued to broaden their search among high-ranking company officials, the inclusion of the CEO is a bit of a surprise.

It was widely believed Müller would be free from scrutiny as he was appointed to replace ex-CEO Martin Winterkorn shortly after the emissions scandal went public in September 2015. Initially, German investigators even stated the CEO was not suspected of any wrongdoing. Then, in March of 2017, prosecutors launched a raid that seized the mobile phones, electronic passwords, appointment books, and email files of numerous Volkswagen and Audi employees — including Müller.

This is the first time Müller has officially been the subject of any of the multiple government probes. The majority have focused on former executives and mid-level bosses who definitively authorized software to falsify emissions tests. The software went on to be installed in 11 million vehicles. However, Braunschweig and Stuttgart-based investigators have begun focusing their attention further up the corporate ladder. Those probes already include Winterkorn and Hans-Dieter Pötsch, the company’s current chairman and former finance chief.

The Financial Times ties the Stuttgart investigations to a 2016 complaint by Germany’s Financial Supervisory Authority, which suspected several Porsche SE executive of possible market manipulation. It’s unknown if Müller was among them at the time.

Neither Volkswagen or Porsche has made any statement on the matter. However, VW has previously maintained that its executives were unaware of the vastness of the emissions scandal or the potential liabilities involved. It has repeatedly faulted lower-level engineers as acting alone while upper management slowly learned of the true nature of the problem after environmental regulators began asking questions. The company has repeatedly apologized on the matter while pledging to improve corporate transparency and maintain its social responsibilities.

Earlier this year, six former or current VW officials were indicted by the U.S. government for conspiracy to commit fraud and violation of the Clean Air Act. One of them, former U.S. emissions compliance chief Oliver Schmidt, currently sits in a Detroit jail awaiting trial after being nabbed by authorities in Miami last January.

[Image: Volkswagen AG]

Matt Posky
Matt Posky

A staunch consumer advocate tracking industry trends and regulation. Before joining TTAC, Matt spent a decade working for marketing and research firms based in NYC. Clients included several of the world’s largest automakers, global tire brands, and aftermarket part suppliers. Dissatisfied with the corporate world and resentful of having to wear suits everyday, he pivoted to writing about cars. Since then, that man has become an ardent supporter of the right-to-repair movement, been interviewed on the auto industry by national radio broadcasts, driven more rental cars than anyone ever should, participated in amateur rallying events, and received the requisite minimum training as sanctioned by the SCCA. Handy with a wrench, Matt grew up surrounded by Detroit auto workers and managed to get a pizza delivery job before he was legally eligible. He later found himself driving box trucks through Manhattan, guaranteeing future sympathy for actual truckers. He continues to conduct research pertaining to the automotive sector as an independent contractor and has since moved back to his native Michigan, closer to where the cars are born. A contrarian, Matt claims to prefer understeer — stating that front and all-wheel drive vehicles cater best to his driving style.

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  • 1995 SC At least you can still get one. There isn't much for Ford folks to be happy about nowadays, but the existence of the Mustang and the fact that the lessons from back in the 90s when Ford tried to kill it and replace it with the then flavor of the day seem to have been learned (the only lessons they seem to remember) are a win not only for Ford folks but for car people in general. One day my Super Coupe will pop its headgaskets (I know it will...I read it on the Internet). I hope I will still be physically up to dropping the supercharged Terminator Cobra motor into it. in all seriousness, The Mustang is a.win for car guys.
  • Lorenzo Heh. The major powers, military or economic, set up these regulators for the smaller countries - the big guys do what they want, and always have. Are the Chinese that unaware?
  • Lorenzo The original 4-Runner, by its very name, promised something different in the future. What happened?
  • Lorenzo At my age, excitement is dangerous. one thing to note: the older models being displayed are more stylish than their current versions, and the old Subaru Forester looks more utilitarian than the current version. I thought the annual model change was dead.
  • Lorenzo Well, it was never an off-roader, much less a military vehicle, so let the people with too much money play make believe.
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