Jack Ewing
The New York Times
12 May 2017
 
German prosecutors said on Friday that they were investigating possible fraud in connection with expense money paid by Volkswagen to a labor representative on the company's supervisory board, raising the specter of another scandal at the carmaker.
Volkswagen confirmed in a statement that the investigation, by prosecutors in Braunschweig, near company headquarters in Wolfsburg, involved Bernd Osterloh, the chairman of the carmaker's works council and one of the most powerful labor leaders in Germany.
 
The company said it had already commissioned a review by an outside expert, who concluded that money paid to Mr. Osterloh "complies with all legal requirements in every respect." A spokesman to Mr. Osterloh did not immediately reply to a request for comment.
 
The latest investigation comes only two months after Volkswagen pleaded guilty in the United States to charges related ot its attempt to dupe regulators about the emissions of diesel cars.
 
The investigation could cast doubt on Volkswagen's assurances, repeated on Wednesday at the annual shareholders meeting, that it is creating a more ethical company culture.
 
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Featured Image: Volkswagen's cheif executive, Mattias Muller, spoke on Wednesday at the annual shareholder meeting in Hanover, Germany. Fabian Bimmer/Reuters