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Munich prosecutors expand Audi investigation

Munich prosecutors said they have widened an investigation at Audi to examine the carmaker's sales in Germany and elsewhere in Europe after the federal government accused the Volkswagen division of cheating on emissions tests in its home market. Audi on Thursday recalled around 24,000 older A7 and A8 models in Europe, 14,000 of which were sold in Germany, to update transmission software, which it said was causing nitrogen oxide (NOx) emissions to exceed EU limits. Munich prosecutors have been investigating Audi on suspicion of fraud and criminal advertising in the United States where parent Volkswagen's emissions scandal broke in September 2015. They have expanded the inquiry to include vehicle sales in the brand's home region, a spokesman for prosecutors said. Audi said late on Thursday that it would continue to fully cooperate with authorities and Germany's KBA motor vehicle authority, which the carmaker had notified about the latest emissions irregularities. The affected Audi models with so-called Euro-5 emission standards, and built between 2009 and 2013, emit about twice the legal NOx limits when the steering wheel is turned more than 15 degrees, the German transport ministry said. Prosecutors said the suspicion in the Audi investigation still centered on fraud, adding they have not yet received updated information from the KBA on the situation in Germany. Their investigation came to a head in March when prosecutors searched Audi's headquarters in Ingolstadt in connection with the emissions scandal, as well as a second German plant and subsequently even the law firm that VW had hired to clear up dieselgate.Related Video: Government/Legal Green Audi Emissions volkswagen diesel

German prosecutors have recorded calls between VW bigwigs talking dieselgate

It's barely possible to believe how poorly Volkswagen continues to handle dieselgate. Depending on which day you catch the news, the German carmaker embodies the corporate venality of "Michael Clayton," the comic blundering of the Coen Brothers' "Burn After Reading," and the every-man-for-himself vengeance of "Reservoir Dogs." Today is Tarantino day, with news that German prosecutors have recordings of phone calls between former Audi and Porsche development boss Wolfgang Hatz, ex-Volkswagen Group executive Matthias Muller, and current Porsche executives Oliver Blume and Michael Steiner. Hatz made the calls to the trio in November 2015, two months after Volkswagen admitted its diesel-particulate sins to the U.S. Environmental Protection Agency. Hatz was still employed at the time, and in his company car. Who recorded the calls? His wife. Hatz and his missus apparently saw the storm coming and started stacking defenses early. Hatz's wife, who can be heard encouraging Hatz during at least one call, sent the recordings to Hatz's attorney from her mobile phone. According to a Google translation of the German newspaper Handelsblatt's report, she included the note, "Here is a very long, but quite informative conversation on the current situation with useful formulations." The report in Handelsblatt said that in Germany it is generally "not allowed" to record a conversation and pass it on to a third party. We don't know how the authorities will handle this matter, since prosecutors found the recordings in e-mail attachments on Mrs. Hatz's mobile phone. Remember, when the diesel scandal broke, VW spent months saying that only a small number of low-level personnel were behind it, and all of the higher-ups had been blindsided. Ex-CEO Martin Winterkorn claimed to be "stunned that misconduct on such a scale was possible in the Volkswagen Group." Winterkorn successor Matthias Muller said, "according to current information, a few developers interfered in the engine management." Former VW USA honcho Michael Horn told a congressional committee that "a couple of software engineers" programmed the software for reasons no one could understand. In the recorded conversations, Hatz apparently called Muller to find out how VW planned to treat him.

Audi eyes factory-backed Formula E racecar for 2017/2018 season

Audi is going all-in into the world of electric vehicles, both on and off the race track. After announcing plans to create a Tesla-fighting all-electric car, the German automaker set its sights onto increasing its involvement in Formula E. Audi recently announced plans to further its involvement with the ABT Schaeffler Audi Sport Formula E Team for the 2016 and 2017 season. In addition to furthering its involvement with the ABT Team, the automaker planned to introduce its own factory-backed car for the 2017 and 2018 season. The plan to enter Formula E, the first fully-electric racing series, reveals just how serious Audi is about electric cars. Audi to become involved in #FormulaE #LeagueofPerformance pic.twitter.com/AeJf534UnH — Audi Sport (@audisport) September 2, 2016 Last year, Audi announced that it wanted one out of every four vehicles in its lineup to have a plug by 2025. Entering Formula E would help Audi engineer electric components for its road-going vehicles. Audi's current involvement with the ABT Team is on a technical basis as the Formula E team narrowly missed out on titles in two seasons in the all-electric series. For the 2016/2017 season, Team ABT will benefit from technical and financial input from Audi, before the automaker unveils its own factory team. Audi will join other automakers like Jaguar, Mahindra, Renault, and Faraday Future on the grid in Formula E's fourth season. Jaguar recently entered the Formula E scene with a race car of its own for the third season of the all-electric series, which will start on October 9 in Hong Kong. Related Video: News Source: Formula EImage Credit: Daniel Abt / Twitter Green Motorsports Audi Electric Racing Vehicles Special and Limited Editions Performance Formula E abt