According to a recent report published in the online edition of the German magazine Der Spiegel, Mercedes-Benz owner company Daimler would be slapped a fine of between 800 million euros ($895 million) and 1 billion euros by the prosecutors in Stuttgart, Germany over violation and cheating of diesel related emissions standards.
A form of cheating software that was fitted to Mercedes-Benz C-Class and E-Class vehicles was discovered by the German motor vehicle authority KBA. Following that discovery, the authority had ordered the company call back 280,000 vehicles, said the report.
The magazine said that the regulators and prosecutors at Stuttgart are contemplating to impose a fine of up to 5,000 euros per vehicle on the German auto maker.
The prosecutors are currently conducting the probe which would not get over until the end of the current year, a spokesman for the prosecutor’s office reportedly told the media in connection to the news report. There has been no comments available from Daimler.
Based on suspicion of being a part of a fraud related to possible manipulation of exhaust gas after-treatment in diesel cars, German prosecutors had conducted searches at Daimler offices in May 2017.
Regulatory authorities in the United States are also conducting scrutiny of the business practices of Daimler. The company was asked to explain the levels of emissions in some of its diesel cars by the United States Environmental Protection Agency in February 2016.
German auto makers Volkswagen, Audi and Porsche have been charged with serious oversight by the senior management of the companies and their failing to prevent lapses which allowed emissions cheating to take place and fines through administrative orders have been imposed on the companies by prosecutors in Germany.
Porsche was fined 535 million euros and its supplier Bosch was slapped a fine of 90 million euros by prosecutors in Stuttgart earlier in May this year. On the other hand, a fine of 1 billion euros was slapped on Volkswagen by prosecutors in Braunschweig and an 800 million euros fine against Audi had been imposed by prosecutors in Munich.
(Adapted from Reuters.com)