Norway oil fund files complaint against Volkswagen image

Volkswagen is under a claims’ siege by its investors over the diesel scandal and Norway’s sovereign wealth fund has joined the action.

Norges Bank Investment Management (NBIM), who manages the world’s largest sovereign wealth fund, said last month that it planned to join a class-action lawsuit filed against Volkswagen over its emissions scandal. And now, it recently announced that it made the step, forming an official complaint at a regional court in Braunschweig in the automaker’s home state of Lower Saxony. The 850-billion-dollar oil fund previously said the value of its stakes in Volkswagen shirked by around 4.9 billion Norwegian kroner (577 million dollars) in the third quarter of 2015 following the Dieselgate. NBIM is Volkswagen’s largest shareholder without a seat on its supervisory board, holding 1.02 percent of the company. Its complaint is part of the lawsuit filed by law firm Quinn Emanuel on behalf of institutional funds in connection with the scandal.

During the first VW’s shareholder meeting since the emissions-cheating scandal erupted, the fund voted against endorsing management’s actions for 2015. However, in the end, the company’s top investors showed their support for the management team and backed up all their decisions for the previous financial year, despite the fact that the automaker reported its biggest ever operating lost. Despite this positive vote, trouble is still looming, as German prosecutors have opened an inquiry targeting former CEO Martin Winterkorn and brand chief Herbert Diess for manipulating the markets.

Via Reuters