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Diesel scandal: Emissions fraud was no secret

Years after the emissions scandal erupted, the criminal proceedings against then-Audi group boss Stadler and two other defendants could come to an end. Those responsible would have known long ago that the after-treatment of exhaust gases could be illegal. Now they will face prison sentences and fines.

New developments in the diesel scandal come from the Munich-Stadelheim prison. After the Chamber of Commerce had announced the imminent end of the taking of evidence in the Audi trial a few weeks ago, the defendants met again in the courtroom last week to give statements regarding their co-responsibility. Among them was Rupert Stadler, Audi's CEO for many years. But no statement came from Stadler. 

Wolfgang Hatz - engine boss in Ingolstadt until 2015 and later part of the development board at Porsche - on the other hand had made a comprehensive confession. "He had already known before 2015 that the exhaust gas aftertreatment in numerous diesel cars for which he was jointly responsible could have been illegal," said his defence lawyer. The fact that the vehicles for the North American market contained an inadmissible defeat device was "recognised and accepted" by Hatz - he explains further. However, the device, which is now classified as far from permissible, had been an important "working basis" at the time for the development of the later generation of powertrains. Hatz had not expected the exhaust software to lead to such a worldwide scandal. For this, he, along with a former employee and senior Audi engineer, will be sentenced to between one and a half and two years in prison - which could, however, be suspended - according to the court's clarification. Which, for the many who had followed the emissions scandal with interest, is considered an extremely lenient sentence. Especially when the initial charge mentioned tens of thousands of affected diesel vehicles and billions in damages. 

The court's position towards Stadler is different. The prosecution currently considers it likely that he will only be sentenced to a suspended sentence of millions for fraud by omission. According to the criminal division, Stadler should also have realised in July 2016 at the latest that the exhaust gas values of diesel vehicles had been manipulated. However, he did not inform the trading partners at that time and continued to allow the sale of the manipulated cars. Behind closed doors, the prosecution and Stadler's defence lawyer will discuss the case. However, all three defendants will be fined between 50,000 euros and one million euros.  

Not yet final, however, are the decisions of the Munich judiciary. In the case of Hatz, for example, the punishment could be even harsher. After all, it is indisputable how much the diesel scandal has affected air quality and the environment - by manipulating exhaust emissions to disguise the actual emissions and by the vehicles emitting more pollutants than expected. The criminal trial will continue on Wednesday - when the court could announce their final decision and decide the fate of the diesel scandal.