Investors of the German car producer Volkswagen, are preparing to submit the lawsuits in a court, due to the emissions scandal last year. Court in Brunswick was forced to engage extra stuff in order to meet the influx, expected for 19th of September, first business day after the one year since the group confess the fraud on its cars admission test.
Even though the most lawyers are saying that time period of one year is not presenting any deadline, majority is not willing to wait, so the shareholders who wants to sue the car maker over the losses are preparing to file.
According to Lindenpartners lawyer Tomas Asmus from Berlin, nobody wants to take the risk that courts may see that differently in the end. He confirmed that he is among the others who are filing before one year will expire.
More than 1000 cases will be filed against VW until September 19th
An attorney Andreas Tilp, said he will file 1,000 suits for small stockholders in Braunschweig and he’s also in talks with more institutional investors.This situation is making huge problems to the auto maker.
Just one year ago VW agreed to pay $16.5 billion to settle suits by some American authorities and car owners, after admitting that around 11 million diesel vehicles had been equipped with software to cheat pollution tests.
The situation is more complicated due to the 350 pending suits of the investors in Brunswick, legal district where the VW Group headquarters is situated, claiming that top management of the company was aware of the US probing test results in 2014.
Since the investigation was not disclosed back then, the stock price of the group was droped for 35% in two trading days after the United States Environmental Protection Agency (EPA) revealed “Defeat device” which measures, senses, or responds to operating variables (e.g., engine speed, temperature, intake pressure or any other parameter) for the purpose of activating, modulating, delaying or deactivating the operation of any component or the function of the emission control system such that. And not only that; there are more lawsuits: one is requesting 3.3 billion euros, and another group is seeking 700 million euros.
VW continuously saying that the suits are unfounded. On Monday was issued the mail statement: “After a diligent review by internal and external legal experts, Volkswagen is of the view that the management board properly fulfilled its disclosure duties under capital-market rules.”