Former Audi CEO, first high-ranking executive convicted in 'Dieselgate' case

The German judiciary has sentenced Rupert Stadler, former CEO of Audi, to one year and nine months probation for the so-called Dieselgate involving Volkswagen Group, Audi's parent company. In addition, it must pay a financial penalty of $1.2 million.

Stadler is the first high-ranking executive of the German manufacturer to be convicted in this corruption case. This judicial process began in September 2020 and, after almost three years of hearings, Stadler acknowledged his involvement in the scandal. On June 27, 2023, the Economic Crime Division of the Munich District Court (Germany) found Stadler guilty of the crimes of fraud and false certification.

What was 'Dieselgate'?

A study on diesel produced in 2012 by the International Council on Clean Transportation (ICCT) and the University of Virginia uncovered this corruption scandal. For their research, the authors chose three diesel-run cars, BMW X5, Volkswagen Jetta and Volkswagen Passat, and found that the latter two emitted pollution 35 times higher than the legal limit.

They contacted the Environmental Protection Agency (EPA) and other legislative authorities to warn them of this excess. This alert led to the start of an investigation into the Volkswagen Group in which it was discovered that the company was using software to manipulate emissions records in more than 40 models of all its subsidiary brands.

In 2015, the EPA made this news public and one year later, the Volkswagen Group was forced to pay a fine, imposed by the Department of Justice (DOJ), of $4.3 billion. In addition, they reached a $14.7 billion settlement and will have to pay out the affected owners.