BRAUNSCHWEIG, Germany, Sept 11 (Reuters): Volkswagen went on trial on Monday to face investors seeking €9.2 billion ($10.6 billion) in compensation, arguing the carmaker should have informed shareholders earlier about its diesel pollution scandal.
Presiding Judge Christian Jaede at the Braunschweig higher regional court will make opening remarks at the trial on Monday setting out the agenda and case priorities for the trial, which will then determine which witnesses may be called.
Plaintiffs suing the carmaker said VW failed in its duty to inform shareholders about the financial impact of the scandal, which became public only after the US Environmental Protection Agency (EPA) issued a "notice of violation" on Sept. 18, 2015.
Had institutional investors known about VW's criminal activities they may have sold shares earlier or not made purchases, thereby avoiding losses on their shareholdings, plaintiffs said.
VW shares lost up to 37 per cent of their value in the days after authorities exposed illegal levels of pollution emitted from VW diesel cars.
VW has admitted systematic emissions cheating, but denies wrongdoing in matters of regulatory disclosure.
"This lawsuit is solely and exclusively about whether Volkswagen complied with its disclosure obligations towards shareholders and the capital markets," the carmaker said in a statement.
"We are confident that this is the case," said the statement.
VW investors seek $11b damages over dieselgate scandal
FE Team | Published: September 11, 2018 23:36:47
VW investors seek $11b damages over dieselgate scandal
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