Audi CEO arrested in Germany over diesel scandal

Reuters  |  FRANKFURT 

(Reuters) - The of Volkswagen's luxury arm was arrested on Monday, the most so far to be taken into custody over the German carmaker's emissions test scandal.

of the arrest comes as VW's new is trying to introduce a new leadership structure, which includes Stadler, and speed up the group's shift towards electric vehicles in the wake of its emissions scandal.

"As part of an investigation into diesel affairs and engines, the prosecutor's office executed an arrest warrant against Mr on June 18, 2018," the prosecutor's office said in a statement.

A in has ordered that Stadler be remanded in custody, it said, to prevent him from obstructing or hindering the diesel investigation.

and VW confirmed the arrest and reiterated there was still a presumption of innocence for Stadler. Stadler himself was not immediately available for comment.

A for Porsche SE, the company that controls VW and Audi, said Stadler's arrest would be discussed at a supervisory board meeting on Monday.

VW admitted in September 2015 to using to cheat U.S. emissions tests on diesel engines, sparking the biggest crisis in the company's history and leading to a regulatory crackdown across the auto industry.

The filed criminal charges against former VW in May, but he is unlikely to face U.S. authorities because does not extradite its nationals to countries outside the

The Munich prosecutors said Stadler's arrest was not made at the behest of U.S. authorities. The was arrested at his home in Ingolstadt, in the early hours on Monday, they said.

(Reporting by Jan Schwartz, Ilona Wissenbach, Edward Taylor, and Irene Preisinger; Editing by and Mark Potter)

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Mon, June 18 2018. 15:19 IST