Bernd Pischetsrieder, a former Volkswagen AG chief executive officer, will donate 100,000 euros or $139,000 to charitable organizations to settle the tax evasion charges he is facing, the Munich Regional Court revealed through an e-mailed statement. On Monday, Pischetsrieder went on trial.
He is charged with evading at least 230,000 euros in taxes from 2000 to 2003 by moving interest on loans for a property he possessed to other real estate. He asserted to the court that he had not concealed anything or attempted to evade taxes.
Pischetsrieder was CEO of Volkswagen's Spanish unit, Seat, and a member of the VW Group management board accountable for quality management between 2000 and 2002. In 2002, he succeeded Ferdinand Piech as CEO of VW Group.
Piech became the VW Group Chairman. In late 2006, Pischetsrieder left the company because of a conflict with Piech.
Pischetsrieder was then replaced by Martin Winterkorn, who currently heads VW Group. Prior to moving to VW, Pischetsrieder was CEO of BMW AG between 1993 and 1999. [source: Autonews]