Audi CEO arrested over fears of Dieselgate coverup

Audi CEO arrested over fears of Dieselgate coverup

It may be noted that this probably the biggest arrest in the Dieselgate scandal that shook the operations of German auto manufacturing company Volkswagen post-2015.

A spokesman for Porsche SE, the company that controls VW and Audi, said Stadler's arrest would be discussed at a supervisory board meeting on Monday.

The Audi probe: Audi has been accused of having sold at least 210,000 diesel-engine cars fitted with cheat software in the U.S. and Europe, starting in 2009.

Munich prosecutors said they had acted because of a risk that Mr Stadler might seek to suppress evidence.

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Stadler, 55, who joined Audi in 1990 and has been its CEO since 2007, has enjoyed the full backing of VW's top brass so far.

Cars sold in Europe by Volkswagen group were believed to be equipped with a software that automatically turned off emissions controls during driving, flouting several pollution control laws.

Mercedes-Benz last week was also told to recall 238,000 vehicles in Germany after the transport ministry reported that they were fitted with emissions-cheating defeat devices.

The dpa news agency said Volkswagen confirmed reports that Stadler was detained Monday.

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Former Volkswagen CEO Martin Winterkorn was charged in federal court in Detroit with conspiring to mislead regulators about the German automaker's diesel emissions.

In a statement to USA Today, Audi said it has no further comment to make on the matter, adding that the presumption of innocence continues to apply for Stadler.

Shares in Volkswagen dropped by 2 per cent in Frankfurt. The raid occurred around the same time that VW Group agreed to pay a €1 billion ($1.2 billion) fine for "inadequate oversight" in its powertrain department.

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