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Australia: Competition watchdog taking Volkswagen to court

 |  September 1, 2016

The competition cop has accused under-siege German carmaker Volkswagen of “extraordinary conduct of a serious and deliberate nature” in a court action over claims it misled consumers on their diesel cars’ green credentials.

The Australian Competition and Consumer Commission revealed it was taking the maker of vehicles including the Golf, Polo and Passat and its Australian subsidiary to the Federal Court saying they made “misleading or deceptive” claims over diesel vehicle emissions.

Europe’s biggest carmaker has been racked with turmoil — including the resignation of its global chief Martin Winterkorn last year — after admitting almost a year ago to setting up emissions-cheating software in 11 million vehicles worldwide.

“These allegations involve extraordinary conduct of a serious and deliberate nature by a global corporation and its Australian subsidiary misleading consumers and the Australian public,” ACCC chief Rod Sims said.

“We expect higher standards of behaviour from all companies that supply to Australian consumers.”

Mr Sims said consumers “rightly expect” that vehicle emissions would operate as ­advertised.

He said this was not the case with more than 57,000 vehicles sold in Australia by Volkswagen over a five-year period. Mr Sims alleges “multiple” breaches of consumer law with an ACCC spokesman saying the potential penalty was $1.1 million for each contravention of Australian consumer law.

Full Content: Herald Sun

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