German premium car brand Audi, a subsidiary of Volkswagen has been slapped with an 800 million euro (approximately Ksh. 93.3 billion) fine for manufacturing cars whose engines do not meet anti-pollution standards.
According to Bloomberg, German prosecutors revealed that Audi was being probed over claims that certain versions of the firm’s V6 and V8 diesel engines breached requirements relating to “emissions service” and “power engine approval”.
The car maker was also accused of producing vehicles with engines that featured an outlawed software function that could cheat emissions tests.
The 800 million euro fine comprises the maximum 5 million euro penalty for ‘negligent regulatory offences’ and 795 million euro (approximately Ksh. 92.8 billion) for ‘disgorgement of economic benefits’.
Confirming the incident, mother company Volkswagen affirmed that Audi had accepted the fine tabled by Munich prosecutors.
“Audi AG has accepted the fine” investigators levied for “deviations from regulatory requirements in certain V6 and V8 diesel aggregates (motors) and diesel vehicles”, the group said in a statement.
Subsequently, Volkswagen admitted that its earnings and that of Audi would be affected following the issuance of the fine.
The fine on Audi comes barely three years after Mother Company Volkswagen admitted to developing 11 million vehicles that were distributed all over the globe, with “defeat devices”. The devices allowed their vehicles to pass standard emissions requirement even though in reality the engines emitted harmful gases such as Nitrogen Oxide into the atmosphere.
Following the revelation of the “Dieselgate scandal”, Volkswagen has had to pay over 27 billion euros in fines, buybacks and refits of the aforementioned vehicles.