The Sunday Mail (Queensland)

VW will cop a hit for its lie


VOLKSWAGEN has lost its appeal against an eye-watering penalty imposed by the Federal Court for lying about their compliance with Australian diesel emissions standards.

The global car manufactur­er was ordered to pay $125m in 2019 — the highest penalty ever handed down for breaches of Australian consumer law — after the consumer watchdog took it to court in 2016.

Volkswagen was found to have misled consumers and regulators about whether their diesel vehicles complied with environmen­tal standards — a scandal later referred to as “Dieselgate”.

The Australian Competitio­n and Consumer Commission (ACCC) said the company made false representa­tions when seeking to import more than 57,000 diesel vehicles.

ACCC chair Rod Sims said Volkswagen did not disclose that the vehicles were fitted with two modes of software, which caused them to operate in one mode for the purposes of emissions testing and another when being driven.

Mr Sims said the record penalty reflected VW’s “egregious” conduct.

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