Volkswagen America CEO Resigns 6 Months After Admitting To Emission Scandal

By Staff Writer | Mar 10, 2016 07:53 PM EST

Volkswagen America CEO Michael Horn resigned from his position after confessing to fraud emission software in VW cars.   The news was confirmed by the German automaker company on Wednesday.

According to Reuters, Horn, the President and CEO of VW US unit is stepping down from the company six months after the contentious diesel scandal erupted. In the VW statement, the company said that Horn resigned by mutual agreement to pursue other opportunities effective immediately. Six months ago, the German automaker conceded to installing fake emission software to more than 580,000 VW diesel cars in the U.S.  The installation allowed excess emission of up to 40 times more than the allowable pollution.

The resignation of Horn comes in the midst of the company's negotiation with the Justice Department and Environmental Protection Agency on a probable acceptable solution for the vehicles.  The deadline for VW to confirm to a judge of a possible fix is set on March 24. At the same time, VW is facing the Justice Department criminal investigation over their alleged environmental violation.  The Justice Department is asking VW to pay $46 billion fine for breaking the environmental regulation.  The company also received a civil subpoena from the department, reported by i4u.

Horn had been the president and chief executive officer of Volkswagen Group of America in 2014 until he resigned.  According to VW, Horn will be replaced by Hinrich J. Woebcken, a former BMW executive.  During the initial VW's investigation, Horn testified in the congress and admitted bravely to the company's dishonesty over the fake emission software on Sept.21, 2015, Yahoo reports.

"Let's be clear about this: our company was dishonest - with the EPA and the California Air Resources Board - and with all of you. And in my German words: We totally screwed up. We must fix those cars," Horn said.

Before Horn's resignation, he wrote to VW employees to thank them on their efforts and for staying with the company during the time of crisis.  Horn couldn't be reached at the moment.

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