VW HITS THE BRAKES

Embattled automaker refuses to hand over documents related to emissions scandal,

Citing German privacy laws, Volkswagen has refused to provide emails or other communications among its executives to attorneys general in the United States, impeding U.S. investigations into the company’s emissions-cheating scandal, according to officials in several states.

The revelation signals a turning point in the now-openly fractious relations between Volkswagen and U.S. investigators, after claims by the Justice Department, in its own inquiry this week, that the company had recently “impeded and obstructed” regulators and provided “misleading information.”

Significantly, investigators say, Volkswagen’s actions limit their ability to identify which employees knew about or sanctioned the deceptions. Finding the people responsible is important to the lawsuits: Penalties would be greater if the states and others pursuing Volkswagen in court could prove that top executives were aware of or directed the activity.

“Our patience with Volkswagen is wearing thin,” New York’s attorney general, Eric Schneiderman, said. “Volkswagen’s co-operation with the states’ investigation has been spotty — and frankly, more of the kind one expects from a company in denial than one seeking to leave behind a culture of admitted deception.”

“I find it frustrating that, despite public statements professing cooperation and an expressed desire to resolve the various investigations that it faces following its calculated deception, Volkswagen is, in fact, resisting co-operation by citing German law,” said Connecticut’s attorney general, George Jepsen.

A 48-state civil investigation is being led by a half-dozen states, including New York and Connecticut. Attorneys general in California and Texas are conducting their own inquiries of the company.

Volkswagen, in a statement, said it could not comment on continuing proceedings.