VW Dieselgate Scandal Triggers Legal Clash Between EU, Germany
- European Commission sends letter of formal notice to nations
- EU says seven governments failed to fulfill legal obligations
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Volkswagen AG’s dieselgate scandal took another turn as the European Union threatened to sue Germany, the U.K. and five other nations for failing to set up penalty systems to deter manufacturers from violating car emissions rules.
It’s the first legal action from the European Commission since the news broke about Volkswagen’s cheating on tests for smog-causing emissions a year ago. The regulator has been battling with the carmaker separately over compensation for EU car owners who had been affected by VW’s admission that it used software on about 11 million vehicles worldwide that allowed it to cheat on pollution tests.