Volkswagen plans to admit its guilt to settle criminal and civil investigations led by the U.S. Department of Justice.
The settlement calls for the German automaker to pay $4.3 billion in fines and although it may be surprising that VW will admit guilt, analysts tell the Washington Post that it could be the best way for the company to avoid more damaging headlines and as a sign of the government’s strong case against it.
Such an admission would also be in stark contrast to the likes of Toyota for its unintended acceleration issues and General Motors with its faulty ignition switches where the companies both agreed to fines but didn’t admit criminal wrongdoing.
According to University of Michigan law professor and the former head of the Justice Department’s environmental crimes section, David Uhlmann, “The Justice Department needs to move past its willingness to allow companies like VW to buy their way out of criminal prosecution—as Toyota and GM were able to do.”
Prior to an agreement can be reached, Volkswagen’s management and board of directors have to approve the plan before it is finalized in court at a later date.
Just the other day, it also emerged that the FBI had arrested a Volkswagen executive over his part in the diesel emissions scandal.
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