Martin Winterkorn, who resigned as chief executive in September 2015 after the emissions cheating came to light, is under investigation for fraud and false advertising, according to prosecutors in Braunschweig, Germany. The authorities also increased the number of people under investigation and portrayed a far more extensive conspiracy than before. Mr. Winterkorn and Hans Dieter Pötsch, the Volkswagen supervisory board chairman, were already under investigation for violations of securities laws. But the new fraud allegations suggest that prosecutors suspect Mr. Winterkorn had a more active role than he or the company have acknowledged. Although Mr. Winterkorn has resigned, the upper layer of management at Volkswagen remains dominated by longtime insiders, including Matthias Müller, the current chief executive.

Source: New York Times January 27, 2017 15:26 UTC