Volkswagen Group Ireland has warned its dealers that failure to notify affected car buyers about the CO2 emissions scandal "increases the risk of criminal prosecution and civil liability".
In correspondence seen by The Irish Times, the group's managing director in Ireland, Lars Himmer, tells dealers that potential buyers of new or used cars caught up in the latest emissions scandal must be made aware of "potential irregularities which may exist" with the official CO2 emissions and fuel consumption figures for affected vehicles.
Mr Himmer warns that “failure to notify new customers of the potential irregularities increases the risk of criminal prosecution and civil liability. These risks can be eliminated if you are able to provide evidence that you had no intention to deceive the customer or carry out any fraud”.
He says “the important point is that we tell the consumer what we know”.
The correspondence also outlines the sales procedures for new and used cars caught up in the scandal.
Volkswagen Group estimates that up to 9,000 Skoda, Seat, VW and Audi cars in Ireland have the wrong CO2 ratings, with potential implications for the vehicle registration tax and annual motor tax due on these vehicles.
In a letter to Minister for Finance Michael Noonan on November 6th, VW chief executive Matthias Müller said the firm "guarantees that potential additional taxes will be settled by the Volkswagen Group".
Tax implications
The Society of the Irish Motor Industry (SIMI) advises dealers outside the VW group selling used Audis, Seats, Skodas or VWs potentially affected to add a note on the order form or sales documentation stating that emissions and fuel economy figures may differ from current official figures and highlight the potential tax implications.
Alan Nolan, SIMI's director general, said dealers should treat it the same way they do with any relevant information about a used vehicle.
However, he said it was unlikely the emissions issue would have a long-term detrimental impact on the value of the cars affected, particularly as there was a shortage of quality used cars from the timeframe of the emissions scandal.
A Co Mayo motorist, who earlier this month filed one of the first cases in Ireland over the emissions scandals, has withdrawn her legal action, according to her solicitor Evan O'Dwyer. However, he said he had over 50 clients from several counties, including Cork, Dublin and Cavan, who had instigated similar legal action against the car firm.
Meanwhile, Volkswagen Group has said it is nearing approval to repair about 70 per cent of its diesel engines caught up in the earlier NOx emissions scandal. It will “resubmit questionable software in other vehicles” to US regulators for review, potentially easing two key trouble spots in its emissions crisis.
Update
German automotive regulator KBA has approved a software update for 2.0-litre diesel engines and agreed in principle to a plan for 1.6-litre engines. This could mean recalls could begin early next year for the the 115,917 Irish vehicles fitted with software designed to falsify NOx readings.
