The recent diesel emissions scandal has resulted in Volkswagen Group facing numerous international fines as well as consumer lawsuits. Amidst growing concerns from the Australian public, the government has launched an investigation to determine what impact the scandal has had on Australian consumers.
Key public sector organisations have stated that legal action will be pursued if any evidence of wrongdoing is found. This highlights the growing need to ensure global corporations comply with Australian law when investing in our economy.
Volkswagen Group has issued an international statement detailing potential solutions that will be rolled out before the end of October. This includes developing technical solutions to present to authorities as well as updating any vehicles with the affected diesel engine.ÂÂ
The emissions scandal surrounding Volkswagen Group has affected an estimated 11 million vehicles globally. However, it has not been determined to what extent the tampered engine impacted vehicles in Australia.
According to a statement issued by Volkswagen Group Australia (VGA), the sale of certain models that have been fitted with the diesel engine have been temporarily banned. Nevertheless, if the diesel emissions scandal extends to Australia, then VGA could be facing serious legal action.
The Australian Competition and Consumer Commission (ACCC) has launched a investigation into the company due to the significant public interest regarding the issue.
If any vehicles in Australia fail to meet the Australian Consumer Law (ACL) mandatory safety standards, there will be legal consequences, stated the ACCC. If guilty, VGA could face a maximum penalty of $1.1 million for breaching ACL standards.
"This enforcement investigation is a priority for the ACCC. We are very concerned about the potential consumer and competition detriment from this alleged conduct," says ACCC Chairman Rod Sims.
Mr Sims added that VGA will have to hand over any marketing materials in order to determine if Australian consumers were misled through advertising. Furthermore, the Department of Infrastructure and Regional Development has also requested more information from VGA regarding vehicle sales in Australia.
"VW and Audi have committed to update the public on Australian-sold vehicles as more detailed information is provided from their global headquarters," says Minister for Territories, Local Government and Major Projects Paul Fletcher.
If the emissions scandal affects Australian consumers on a large scale, legal recruitment may be impacted as a result. Due to the interest of key public sector organisations, government legal recruitment may be required in order to access the appropriate level of expertise on these issues.