Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious OutperformanceFind Stocks Now

Volkswagen fight against Italian dieselgate fine to be decided by Italian court

Published 14/09/2023, 11:43
Updated 14/09/2023, 11:52
© Reuters. A Volkswagen logo is seen during the New York International Auto Show, in Manhattan, New York City, U.S., April 5, 2023. REUTERS/David 'Dee' Delgado/File photo

By Foo Yun Chee

BRUSSELS (Reuters) - Volkswagen (ETR:VOWG_p)'s attempt to avoid being penalised twice for the same offence in the dieselgate scandal will depend on whether the wrongdoing is identical or just similar, Europe's top court said on Thursday.

An Italian court will have the final say based on the reference provided by the Luxembourg-based Court of Justice of the European Union (CJEU).

The case centred on Volkswagen's challenge against a 5-million-euro ($5.4 million) Italian antitrust fine levied in 2016 for its misleading advertising about cars fitted with illegal emissions control devices.

The German carmaker said it should not be sanctioned twice for the same offence after it separately paid a 1 billion euro German fine in 2018. The diesel emissions scandal has cost Volkswagen more than 32 billion euros in refits, fines and legal costs so far.

The Italian court in its 2019 ruling dismissed Volkswagen's appeal, saying there was no double jeopardy involved as the Italian fine derived from a different legal basis. The company took its case to the Italian Council of State which then sought advice from the CJEU.

Double jeopardy "may apply only where the facts to which the two sets of proceedings or the two penalties at issue relate are identical; it is therefore not sufficient that those facts be merely similar," CJEU judges said.

The case is Opinion in Case C-27/22 Volkswagen Group Italia and Volkswagen Aktiengesellschaft.

($1 = 0.9321 euros)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.