Scandal hit VW taps Porsche boss for top job as former CEO eyes €60m payout

Porsche boss Matthias Müller once joked that he was too old to run Volkswagen. But the 62-year-old former toolmaker now looks certain to be given the task of steering the German carmaker through the worst business crisis in its history. The carmaker’s supervisory board will reveal a successor to chief executive Martin Winterkorn at today’s board meeting but will also give initial findings from an internal investigation into who was responsible. Meanwhile, Britain has said new checks will be carried out across the car industry to ensure that the scandal was not repeated.

Volkswagen needs a fresh start – also in terms of personnel. I am clearing the way for this fresh start with my resignation

Martin Winterkorn

The scandal centres on “defeat devices,” which VW used to fool U.S. emissions tests on diesel cars into believing the vehicles met environmental standards. At least 482,000 cars are to be recalled and the scandal has already cost Mr Winterkorn his job and sent the company’s share price crashing. However, Mr Winterkorn is still in line for a €60million payout, according to company rules. VW has set aside €28.5 million euros for the retirement of its former chief and he could get a possible payout for early termination of contract worth a maximum of two years’ remuneration.

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