Volkswagen to face investors over emissions scandal

Volkswagen is set to face an investor grilling this week on its corporate governance and the diesel emission scandal that has engulfed the German car giant in recent months.

VW is set to hold its first investor meeting since admitting it rigged emissions readings. Picture: Sean Gallup/Getty Images

The event in Hanover on Wednesday will be the first investor meeting since the company admitted rigging emissions readings for 11 million of its diesel-engineered vehicles.

Corporate governance advisory groups such as Pirc and Hermes EOS have urged shareholders to reject a vote of confidence in the Volkswagen board, now led by new chief executive Matthias Mueller.

Hermes has also called for a special audit to probe whether the lack of independent directors at the company led to inadequate scrutiny of the management team.

Volkswagen’s revenues fell 2 per cent in the first five months of 2016, which analysts have attributed to damaged public trust in the group, which is 52 per cent owned by the Porsche family.