Detroit (AP) – Volkswagen of the United States has released misleading announcements this week. It will change its brand name to “Volt Wagon” to emphasize its commitment to electric transports and changed its name on Tuesday. It was fun to do.
Company spokesman Mark Gillies confirmed Tuesday that the insistence on Monday that the post was valid and that the name change was correct was a joke made by Fool before April. The company’s deception was redistributed on Tuesday, saying the brand indicates a shift to high-battery electric vehicles.
Volkswagen’s deliberately inaccurate press release, which is highly unusual for a large public company, is in line with efforts to restore its image. It seeks to recover from the 2015 scandal. The government expelled Has cheated the exams and allowed vehicles to spread pollution illegally.
In the rumor, Volkswagen admitted that 11 million diesel vehicles globally were equipped with deceptive software. When cars were put into a test machine, the software reduced nitrogen oxide emissions but generally allowed higher emissions while driving and improved engine performance. The scandal cost Volkswagen $ 35 billion (30 billion euros) in fines and covenants and summoned millions of vehicles.
The company’s bogus press release was leaked on Monday and then repeated on Tuesday in a significant email to reporters, which led to articles about the name change in various media outlets, including the Associated Press. False posts could put Volkswagen in trouble with US securities regulators. Its share price plunged nearly 5 55 on Tuesday, the day the false statement was officially released.
In recent days, investors have responded positively to reports of increased EV production, increasing the share value of Tesla and some EV startups.
James Cox said the Securities and Exchange Commission should react to such misinformation, Distorting stock prices. Who teaches securities and corporate law at Duke Universityadminister such misinformation.
Nuts have hit the whole market,” Cox said. I think we need to draw a clear line in the sand, what I believe is allowed and what is not allowed.
This week’s Volkswagen incident bears some resemblance to someone in 2018. Tesla CEO Elon Musk tweeted that he had the funds to take the company to the public, which raised the price of the shares. . Later, it was revealed that the funds were not linked. Kasturi and Tesla agreed to pay a 20 million fine to the SEC.
Eric Gordon, a law and business professor at the University of Michigan, said he believed that to get the SEC interested, it would have to think that VW had deliberately priced its shares. He has released a bogus press release to add.
Gordon said I don’t think the SEC will see more stock price administration when General Motors or Ford or Toyota or whatever (electric vehicle) talks about its future,
It’s foolish, but if it were illegal to be stupid, a third of CEOs in the United States would be in prison.
A message was left on Tuesday seeking comment from the SEC.
On Tuesday night, VW issued a statement confirming that it would not change its brand name to “Volt Wagon.”
The company says the name change was planned for April Fool’s Day.
April Fool’s jokes are common in marketing, said Tim Calkins, a clinical professor of marketing at Northwestern University. But he said it is rare for a company to mislead journalists deliberately.
In a short time, the difficulty is you can deceive people, and that sounds cute and fun. But in the long run, you need an excellent, good, confident association with the media. For a company that already has a reputation, a bizarrey weird move