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Ford in criminal probe over emissions | Ford in criminal probe over emissions |
(32 minutes later) | |
A criminal investigation has been opened into the way Ford tests the emissions of its vehicles. | A criminal investigation has been opened into the way Ford tests the emissions of its vehicles. |
The US Department of Justice took action after Ford alerted the US Environmental Protection Agency to potential problems in February. | The US Department of Justice took action after Ford alerted the US Environmental Protection Agency to potential problems in February. |
Ford said the issue did not involve the use of defeat devices, which were at the centre of the emissions scandal involving Volkswagen in 2015. | Ford said the issue did not involve the use of defeat devices, which were at the centre of the emissions scandal involving Volkswagen in 2015. |
VW was found to have used software that could cheat emissions tests. | VW was found to have used software that could cheat emissions tests. |
Emissions testing in the US has two parts: testing on the road and computer modelling. | |
The modelling generates mileage and emissions data submitted to regulators. | |
Ford employees raised concerns about the computer modelling and, in particular, the figures Ford engineers used for road load, which involves the weight of the vehicle and other data. | |
"We are fully co-operating with all government agencies. Because this matter is still in the preliminary stages, we cannot predict the outcome, and we cannot provide assurance that it will not have a material adverse effect on us," Ford said in a filing with the Securities and Exchange Commission. | |
Ford has commissioned outside experts to investigate its testing procedure, a process which is expected to last several months. | |
VW scandal | |
Regulators have been paying closer attention to emissions testing since the scandal involving Volkswagen emerged in 2015. | |
VW sold more than 10 million cars between mid-2007 and 2015 that had emissions-test-cheating software installed. | VW sold more than 10 million cars between mid-2007 and 2015 that had emissions-test-cheating software installed. |
Last year VW was fined €1bn (£880m) by German prosecutors over the scandal and in 2017 agreed to pay $4.3bn (£3.5bn) to settle a US investigation. | Last year VW was fined €1bn (£880m) by German prosecutors over the scandal and in 2017 agreed to pay $4.3bn (£3.5bn) to settle a US investigation. |
Under the deal with the Department of Justice, VW agreed to scrutiny by an independent monitor for three years. | |
Earlier this month, the former chief executive of VW was charged in Germany over his involvement in the scandal. | |
The public prosecutor in Braunschweig charged Martin Winterkorn and four other managers with fraud. | |
Mr Winterkorn is already facing criminal charges in the US, but is unlikely to face trial, as Germany does not extradite its citizens. | |
The 71-year-old resigned soon after the scandal erupted in September 2015. | |
In a statement, prosecutors accused Mr Winterkorn of a "particularly serious" fraud, as well as a breach of competition laws. |