Volkswagen Says It Will Contest SEC Charges 'Vigorously'
March 15 2019 - 3:14AM
Dow Jones News
By Max Bernhard
Volkswagen AG (VOW.XE) said Friday that a complaint brought
against the car maker and a former CEO by the SEC is "legally and
factually flawed" and that it will contest the charges
"vigorously."
The U.S. Securities and Exchange Commission said late Thursday
that it charged Volkswagen and Martin Winterkorn with defrauding
U.S. bond investors over the diesel scandal that has already cost
the car maker billions of dollars.
"The SEC has brought an unprecedented complaint over securities
sold only to sophisticated investors who were not harmed and
received all payments of interest and principal in full and on
time," Volkswagen said in a statement.
The SEC doesn't allege that any person involved in issuing the
bonds knew of the diesel issue when the securities were sold,
Volkswagen said. The SEC complaint "simply repeats unproven claims
about Volkswagen AG's former CEO, who played no part in the sales,"
the car maker said.
Volkswagen admitted in 2015 to having rigged some 11 million
diesel-engine vehicles globally with software that allowed them to
dodge emissions testing, leading to a multibillion-dollar
settlement in the U.S.
"The SEC is now piling on to try to extract more from the
company," Volkswagen said in its statement.
Write to Max Bernhard at max.bernhard@dowjones.com;
@mxbernhard
(END) Dow Jones Newswires
March 15, 2019 02:59 ET (06:59 GMT)
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