Volkswagen has selected an American executive to conduct business in the United States in the hope of accelerating recovery from an emissions scandal that shook the company three years ago
Scott Keogh, who led the Audi group , who took over America Division for the past six years, was appointed President and Chief Executive of Volkswagen of America. He replaces Hinrich J. Woebcken, who reorganized Volkswagen of America in his three years at the helm.
Sales of Volkswagen brand models in the US rose 5.5 percent this year to more than 266,000 cars and commercial vehicles. However, this was less than the company sold in the same period in 201
Mr. Keogh, 55, is credited with more than doubling Audi's US sales and positioning its cars in the same league as the products of other luxury automakers such as BMW and Mercedes-Benz. Mr. Woebcken, 58, has not been appointed to a new leadership role, but will continue to advise the company.
In 2015, Volkswagen admitted that it had embedded embedded software in millions of diesel vehicles that were used to reduce nitrous oxide emissions in cars. The company had built a growing following for its diesel cars in the United States and elsewhere, claiming that they reduced tailpipe emissions and continued to drive with a gallon of fuel than gasoline-powered cars. In fact, the software allowed the company's diesel engines to emit far more pollutants than were allowed when driven outside a laboratory building.
Many consumers avoided Volkswagen cars after these revelations, and sales crashed in the United States. The Department of Justice sued the company, which had to buy back most of the 600,000 diesel vehicles it had sold in the US with the fraudulent software.
Last year, Volkswagen pleaded guilty states in the United States. She paid $ 4.3 billion in fines and was put to the test for three years, with a former federal attorney supervising ethics and regulatory compliance. In May, US prosecutors filed charges against a former CEO, Martin Winterkorn, for conspiracy and telephone fraud over the emissions case.