Sections

ideals
Business Essentials for Professionals

Companies
23/08/2016

Diesel Allegations Rejected as 'Wild and Unfounded' by Bosch




Diesel Allegations Rejected as 'Wild and Unfounded' by Bosch
The allegations that Auto supplier Robert Bosch GmbH was a knowing participant in Volkswagen's decade-long scheme to evade U.S. anti-pollution were termed as being "wild and unfounded" by the company.
 
Bosch responded to attorneys who had said Bosch was a "knowing and active participant in the scheme" during a hearing that was suing Volkswagen AG on behalf of U.S. owners of the polluting VW diesel vehicles, and this rebuttal was communicated by the company in a filing in U.S. District Court in San Francisco late on Monday.
 
Several top automakers including VW uses an engine control unit that is manufactured by Bosch. The company has said that the responsibility for how software is used to regulate exhaust emissions or fuel consumption lies with carmakers even as it conceded that it had supplied software and components to VW.
 
For the development of a so-called cheat device to circumvent U.S. emissions tests and trick regulators, Bosch had worked with Volkswagen, said the plaintiffs' attorneys.
 
The plaintiffs' documents "indicates that the plaintiffs have made wild and unfounded allegations" that in some cases are based on speculation, said the Bosch filing based on what is called an initial review of the plaintiffs' documents.
 
Since the documents have been designated as confidential by Volkswagen, most of the allegations involving Bosch remain under seal. Citing strict German privacy laws, except to keep the names and job titles of Bosch employees confidential, Bosch said it did not oppose making public most of the allegations under seal. In addition to its chief executive, Volkmar Denner, who is a named defendant, the plaintiffs' complaint cites 38 Bosch employees, Bosch said.
 
The documents turned over by Volkswagen "but in many cases based only on speculation, and oftentimes directly contradicted by the terms of the documents cited," which supposedly formed the basis of the allegations, Bosch said.
 
No charge of wrongdoing has been made against Bosch. They were investigating whether staff at the Stuttgart-based company were involved in the rigging of emissions tests by VW, German prosecutors said in December.
 
The plaintiffs' lawyers said that close collaboration between the carmaker and Bosch, the engine helped customize the control system for VW's clean diesel engine.
 
Denner said in January that he was cooperating with authorities and he had ordered an internal investigation. Including keeping provisions for a continuing investigation into the company's role in Volkswagen's diesel emissions manipulation scandal, Bosch said it had set aside 650 million euros for potential legal costs in April.
 
Investigations about whether Bosch knew or participated in VW's efforts to cheat on U.S. diesel emissions tests were being conducted by U.S. federal prosecutors, the media reported in November.
 
The VW investigation is looking at "multiple companies and multiple individuals", said Deputy U.S. Attorney General Sally Yates in June. To settle a criminal investigation of the emissions cheating case, Volkswagen has held preliminary talks with the U.S. Justice Department, the media reported last week.
 
(Source:www.reuters.com) 

Christopher J. Mitchell

Markets | Companies | M&A | Innovation | People | Management | Lifestyle | World | Misc