Indian probe could lead to criminal charges against VW

26 Sep 2015

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The Automotive Research Association of India (ARAI), India's apex testing agency, on Friday began a probe in India into Volkswagen's emission standards after a manipulation scandal hit the German auto major in the US and several other countries.

If any wrongdoing in India is proved, the world's largest car-maker may have to face criminal proceedings, a fine and recall of vehicles, a top official said. The probe was launched on the behest of the heavy industry ministry.

ARAI Director Rashmi Urdhwareshe said it has sought details from Volkswagen and was awaiting their response

When asked if ARAI would pick up random samples to test, she said, "We are yet to decide on that."

Additional secretary in the heavy industry ministry Ambuj Sharma said ARAI has been asked to find out whether VW sold the same models which have been found to violate emission norms in the US and "report within a week".

"If Volkswagen is found to have violated Indian standards, it may have to recall vehicles, pay a penalty or even face criminal proceedings as per Indian regulations and legal procedures prescribed," he told PTI.

When contacted, a Volkswagen India spokesperson declined to comment, stating that investigations "are still running".

Heavy industries secretary Rajan Katoch said on Thursday that the ministry has asked ARAI to inquire if VW manipulated emissions tests in India as it did in the US.

Volkswagen has admitted that 11 million diesel engine cars worldwide were fitted with the software that helped in manipulating emission tests. It faces fine of up to $18 billion in the US.

It is now facing investigations in the US, South Korea, France, Italy, Canada, Germany and the UK. Australia has said it is monitoring the situation.

In the wake of the scandal in the US, the embattled CEO of Volkswagen, Martin Winterkorn, stepped down earlier this week.

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