Australia says Volkswagen faces legal action if 'defeat devices' found
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Version 0 of 1. Volkswagen faces being hauled before a court and fined by the consumer watchdog if pollution-cheating software is found in its Australian cars. In an update on its investigation into the local impact of the car giant’s emissions fraud, the Australian Competition and Consumer Commission said a discovery of “defeat devices” would violate consumer law. Related: Emissions scandal: how the drive for diesel ran out of gas “As the enforcer of the Australian consumer law, the ACCC can take action against any corporation that has breached mandatory standards,” chairman Rod Sims said in a statement on Thursday. “We are very concerned about the potential consumer and competition detriment from this alleged conduct.” Action by the ACCC could include court-imposed fines of up to $1.1m per breach of the consumer law and binding agreements being enforced on Volkswagen to ensure it complies with local standards. The watchdog has deemed the investigation a priority and is demanding Volkswagen hand over its marketing materials so it can determine if Australian car buyers were exposed to false, misleading or deceptive sales advertisements and marketing. “Cars are a big purchasing decision and claims that relate to environmental benefits or fuel efficiency can influence consumer choice,” Sims said. Related: Volkswagen scandal: Australia unable to confirm cars have test-cheating software The local arms of Volkswagen and Audi have not yet been able to confirm whether any Australian cars are involved in the global fraud scandal. Worldwide, 11m Volkswagen diesel cars and 2.1m Audis have been identified as carrying the emissions control-manipulating software in their engines. The scam has left one of the world’s largest carmakers facing fines of $US18bn for breaching environmental standards in the United States, and numerous customer lawsuits. On Wednesday, the car giant announced its intention to fix the problem, including recalling and refitting 5m affected vehicles worldwide. |