Audi CEO Rupert Stadler has been arrested in connection with the parent company Volkswagen’s Dieselgate emission-cheating scandal.
Prosecutors in Germany said that Stadler's arrest was justified because of the ‘risk of concealment of evidence’. A Volkswagen spokesperson has confirmed this development. However, the spokesperson also said in a statement, "For Mr Stadler, the presumption of innocence continues to apply".
Just last month, Audi paused the deliveries of many previous-gen A6 and A7 V6 diesel models in Europe because the company found irregularities in the unit’s management software. Consequently, roughly 30,000 cars were recalled.
In a recent development, Volkswagen AG was slapped with a fine of €1 billion in connection to the emissions-cheating scandal. The company accepted the fine and said that it will not lodge an appeal against it.
Volkswagen AG is not the only German company allegedly involved in installing emission-cheating devices in their cars. Earlier this month, Daimler AG was forced by German regulator KBA to recall around 774,000 diesel vehicles which were suspected to contain defeat devices.