"I can confirm that Brunswick state prosecutors are leading an investigation on suspicion of fraud in connection with compensation for activities on the works council," a spokeswoman told AFP. While prosecutors did not name any suspects, multiple sources pointed to works council chief Bernd Osterloh. Osterloh holds two roles at VW, serving both a member of the supervisory board and with a full-time job as head of the works council. Both Volkswagen and the works council defended Osterloh's pay packet. Human resources head Peter Hartz was slapped with a two-year suspended sentence and a fine over the same scandal, which came to light in 2005.

Source: The Local May 12, 2017 15:45 UTC