Former VW boss finally faces trial in Germany over ‘Dieselgate’

Almost exactly nine years after the Volkswagen emissions scandal was exposed, the car giant’s former boss Martin Winterkorn has finally appeared in a German court.

Winterkorn, 77, faces criminal charges over his alleged involvement in a Volkswagen scheme to use illegal software to deceive U.S. environmental regulators about emissions from the company’s diesel engines.

Once Germany’s highest-paid business executive, Winterkorn resigned in the wake of the scandal but has denied any personal responsibility. His trial has been repeatedly delayed due to health concerns.

Prosecutors told the court on Tuesday that Winterkorn knew about the illegal software by May 2014 at the latest, earlier than the chief executive admitted.

“Dieselgate” was revealed in September 2015 following an investigation by U.S. environmental authorities and scientists.

They found that the carmaker had manipulated emissions levels using special software. These so-called “defeat devices” meant that the cars met nitrogen oxide limits under test conditions but not on the road.

Prosecutors said Winterkorn’s failure to respond to illegal activity he allegedly learned of resulted in the sale of at least 65,000 manipulated vehicles in the U.S.

The scandal cost Volkswagen more than 32 billion euros ($35.3 billion) in fines and settlements alone. It plunged VW into the worst crisis in its history and seriously damaged its reputation.

“Our client categorically denies the allegations made against him,” Winterkorn’s lawyer Felix Dörr said on Tuesday.

Dörr claimed that Winterkorn “did not cheat” and “did not hurt anyone”.

Winterkorn is expected to make his own statement to the court on Wednesday.

Winterkorn is accused of deceiving VW buyers about the quality of their cars, and on key days in September 2015, he deliberately failed to inform the capital market in time about the risk of fines. In 2017, he was later accused of giving false testimony before a Bundestag investigative committee.

He is charged with fraud, market manipulation and making false statements, among other things. The lengthy, complex indictment took several hours to read Tuesday.

The Braunschweig Regional Court has scheduled almost 90 days for the criminal trial, until September 2025, starting on Tuesday.

The details of how Volkswagen developed the illegal software and decided to install it in diesel vehicles remain unclear to this day.

The first major fraud trial of four other former VW executives and engineers has yet to produce any major findings after three years of proceedings.

Winterkorn was originally scheduled to face charges in this earlier trial, which began in Braunschweig in September 2021.

However, shortly before the trial began, an expert report confirmed that Winterkorn was not fit to take part in the trial after several hip surgeries. In order to advance the investigation into the “Dieselgate” scandal, the judge severed Winterkorn’s case from those proceedings.

Winterkorn underwent another knee operation in July of this year after a medical emergency. The operation was successful but required a stay in a rehabilitation clinic.

“I’m doing quite well today,” Winterkorn told reporters as he entered the courthouse Tuesday with a visible limp.

According to the court, the VW fraud scandal affected around 9 million vehicles in Europe and the US, with buyers allegedly suffering financial losses amounting to several hundred million euros.