A 'cheat' or 'defeat device' is a software installed in auto engines to manipulate pollution emission tests. Volkswagen was accused of the malpractice globally a few years ago.
During the hearing the automobile maker argued that in December, 2015 the complaint was made in the National Green Tribunal (NGT) and in March, 2019 a penalty was imposed on it which was stayed by the apex court.
An FIR was also lodged in UP and the company moved the high court seeking its quashing, it said.
The apex court passed the order on the appeal filed by Skoda against the Allahabad High Court order refusing to quash the FIR and dismissing its plea.
The high court had said that whether a cheat device was installed in the vehicles is a matter of investigation and it cannot be interfered with by the court on an erroneous interpretation of the interim order of the top court.
The top court had earlier restrained the Centre from taking any "coercive" step against the company for non-submission of Rs 500 crore fine imposed by the NGT for damaging environment through use of "cheat device" in its diesel cars in India.
The green panel had directed the car maker to deposit the amount within two months with Central Pollution Control Board.
The tribunal had enhanced the compensation amount of Rs 171.34 crore, which was recommended by a NGT-appointed committee, to Rs 500 crore as a means of "creating deterrence".
The auto maker, however, had said that it did not violate the BS-IV norms and that the test results were based on "on road testings" for which there were no prescribed standards.
Volkswagen India had in December 2015 announced the recall of 3,23,700 lakh vehicles in India to fix the emission software after ARAI conducted tests on some models and found that their on-road emissions were 1.1 times to 2.6 times higher than the applicable BS-IV norms.
The automobile giant had admitted to the use of 'defeat device' in 11 million diesel engine cars sold in the US, Europe and other global markets to manipulate emission test results.
After the tests by ARAI, Volkswagen India had undertaken to rejig the software by recalling around 3.23 lakh vehicles fitted with EA 189 diesel engines which were in alleged violation of emission norms.
The company, however, had said that the recall in India was purely voluntary in nature as it did not face any charges regarding violating emission norms in India, unlike in the US.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.