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Police raid VW headquarters in France in emissions scandal

Volkswagen has said around 11 million cars with the software were sold worldwide. But the German authorities found the plan insufficient and ordered the automaker to recall 2.4 million vehicles. “Demonizing diesel power would be a false effect of emissions manipulation”, she said, and added that she wasn’t suggesting penalizing diesel owners with higher taxes on their vehicles. It has come to light that Italian police have raided VW’s offices in Italy as well as those of VW subsidiary Lamborghini in regards to the diesel scandal. The company is indicating that the repairs may stretch beyond the end of 2016.

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More than two, but a lot fewer than 10 people” were suspected of masterminding the scam where sophisticated software skews pollution emissions tests in diesel engines, Klaus Ziehe, spokesman for the prosecutors, told AFP.

Volkswagen said in the press release that they welcome the swift decision of the KBA in issuing a recall so that a timetable and plan of measures can be implemented.

“We cooperated with full transparency”, a VW spokeswoman said.

For years and decades, the German authorities have been in complete sync with the famed automakers of the country. Other auto makers posting gains that matched or beat the market increase included Japanese manufacturers Nissan, Mazda and Honda., Seoul-based Hyundai and Tata’s United Kingdom luxury unit Jaguar Land Rover.

The 8.5 million vehicles involved in the recall order are a little less than one-third of the automobile deliveries made by Volkswagen in Europe from 2009 to August.

Mueller, the CEO, said in his letter Thursday that a “concerted and reliable approach” by all European Union members would be in the best interest of customers.

The mandatory recall is seen as Germany’s answer to VW dragging its feet on coming up with a workable solution to the emissions crisis.

“Rectifications of the vehicles will begin from January 2016 and will be free of charge for our customers”, VW said.

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Estimates from Credit Suisse peg the costs of the scam, dubbed Dieselgate, at as much as a whopping $87 billion, three times more than the estimated $20 billion that British oil major BP incurred in the worst oil spill in the Deepwater Horizon disaster that occurred offshore U.S. in 2010.

VW Installation of cheating software