Volkswagen Says Purge Of Bad Employees Will Take A While To Sort Out - 40 Found So Far

I will admit that, initially, I was a big "minimizer" of this VW software cheating scandal even going so far as to compare it to the GM ignition key scandal.

However, now I am feeling that this VW scandal has more in common with the Enron scandal of 10 years ago - where there was systemic lying and deception throughout the company. The evidence seems to indicate that this software issue was promulgated up and down the executive and management ranks of VW - all you have to do is consider where the incentives lie.

I think a VW manager discovered how "easy" it was to generate some quick money savings by using "cheat" software. Once they got away with it, it sounds like such behavior became ingrained and spread throughout platforms. I wouldn't be surprised if EVERY VW engine - gas or diesel has some form of this software, but we will have to wait until its tested.

Very sad - I'm sure since VW is basically a subsidiary of the German state of Saxony (albeit with private stockholders) VW won't go the way of Enron, but as corporate deceptions go, this scandal is right up there with the Enrons and Worldcoms of the world.

I'm surprised the VW is still making such incredible statements and are still attempting to scapegoat a few dozen people. I'm also surprised that anyone could believe them. As the facts and VW's own admissions mount, we have learned:

(1) VW engineered software that causes their 2 liter (and smaller) diesel engines to detect when they're being tested for emissions and behave completely differently under those conditions in order to pass emissions tests, while generating up to 40 times more NOx under real world conditions. This has been going on for over 8 years.

(2) The EPA has identified "irregularities" in VW's 3.0 litre V6 diesels, but the nature of this is still not specified. VW stopped selling them as a precaution, but insists these have no cheat devices.

(3) VW lied in CO2 emissions reporting, understanding the true extent of the emissions. This is not limited to their 2 litre diesels. It affects their gasoline engines, too.

(4) VW lied about fuel consumption, understating the true numbers to make them appear more appealing to consumers. This is not limited to their 2 litre diesels. It affects their gasoline engines, too.

(5) Numerous VW employees, current and past, are reporting a toxic corporate culture that was (and likely still is) ruled by intimidation and fear. (e.g., (paraphrased) "Find a way to make those diesel engines meet emissions standards fast, or I'll find someone who will.") This is systemic, and widespread.

(6) VW initially attributed the first element of the scandal (illegal NOx emissions) to 2 engineers, then to "a handful" of engineers. Now they alleged all deception and corruption in this corporation of over half a million employees numbers around "40 or so".

VW's statements and scapegoating of a small number of employees just doesn't add up to the facts was they have been revealed to us.

Arrest Piech and prosecute him. They need to sell Porsche, Lamborghini, and Bentley to someone with deep pockets who can keep them alive (Toyota, Hyundai/Kia) because at this rate, VW is headed for a full-on implosion.

VAG has a lot of money. They are able to absorb the costs.

Remember, most GTIs probably leave the dealer at/around $30,000+ and are probably returned in 24 - 36 months with low miles to be sold again for $$$.

"A fish rots from the head." VW's problems start from the top (Piech) and the culture that he is alleged to have encouraged. It isn't just "do it or I will find someone who can", but also a culture that didn't stop unethical behavior on small things sending a signal it was OK, but then combined with the high pressure allowed things to spiral out of control. To fix it Piech has to go, BUT his family owns 25% of VW so that won't happen. Think of Ford firing a member of the Ford family.

It would not surprise me if 40x40 employees were involved staring with Piech. You sweep the stairs from the top down.

Believing all levels of management were conspirators in this emission cheating scandal and proving all levels of management were conspirators is two different things.

If investigators can only find the managers and agents VAG tells them were the source, those managers and agents will take the fall along with a small fine for the company as a whole.