Every giant companies have a lot of everything on their plate and most of them are the number of scandals. Almost every day, we hear about a rumor or a scandal of a mega company. Some companies get severely moved about these rumors and scandals and then there are some companies who don’t pay heed to such mumbo jumbo and get back to work. VW is the abbreviation of Volkswagen and it is a German company which was founded in 1937 and their’ headquarter is in Wolfsburg and it is famous for its Beetle car and it has many branches of workshop for Volkswagen repair in Dubai. And concerning about the scandals, there are different scandals about this company as well, keep up with my website for latest rumors and scandals. These scandals are in timeline.
- 1987: in this year, in March, the company had to cover losses by announcing that it was taking the 480m Deutsche’ mark’s provision and the loss was over 160 million pounds. The company was doing this because it had faced a huge loss and someone did a fraud with them in foreign exchange. And this amount was half of the profits that they made in a year. The company did an international manhunt for the man or woman who did the fraud and this is why the company had to sale 16% stake in the car industry. After seven months, FBI tracked down a guy in Frankfurt in an apartment in Hollywood.
- 2005: the state did an investigation on a bribery issue on a senior VW executive. The case was about prostitution scandal. Peter Hartz who was the personal director of the industry of that year was suspended for 2 years for breaching the company rule and also, he was involved in the bribery. The scandal said that the finance department was involved in giving him foreign trips and high-class prostitutes. Hartz was a dear friend of Gerhard Schroder (ex-chancellor) and also his adviser.
- 2006: again, the company was accused of taking bribe from the suppliers. This lead to the resignation of executive chairman Faurecia who was a French maker of auto components.
- 2009: the headquarters of Porsche was raided as a part of investigation for the allegation of manipulating the market on purpose.