VW Corruption Scandal Widens

Allegations of corruption inside Volkswagen are widening, to include possibly 50 to 60 people and a network of shell companies that would make the Russian mob blush. VW chairman Bernd Pischetsrieder told German daily Sueddeutsche Zeitung that the network, allegedly set up to garner contracts from VW, is larger than he and prosecutors at first suspected. At the center of the investigation are close aides of former human resources head, Peter Hartz, who resigned last month. Allegations also include fraud involving the company's works council — the labor-management relations board used by many European companies — including the use of council funds for vacations.

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