Mercedes-Benz parent company Daimler has been fined 870 million euros ($960 million) for "negligent violation of supervisory duties" in the wake of its diesel emissions scandal, following similar actions against Volkswagen, whose "Dieselgate" fiasco sent tremors through Europe's automotive industry.
Daimler's board waived the company's right to appeal the fine, choosing instead to try to put the matter to rest.
"After weighing all aspects, Daimler has refrained from taking a legal remedy in the public prosecutor’s administrative offense proceeding. It is in the Company’s best interest to end the administrative offense proceeding in a timely and comprehensive manner and thereby conclude this matter," Daimler said in a statement.
Daimler was investigated after U.S. regulators found emissions-control software that met the EPA definition of a "defeat device" in Mercedes-Benz vehicles following the discovery of such devices in VW Group's products.
German authorities identified 280,000 C-Class and E-Class vehicles left the factory this way. Eventually, more than 700,000 Mercedes-Benz vehicles would end up being recalled.
The full extent of the proliferation of this software in Daimler vehicles remains unclear. This fine resolves Daimler's legal trouble only in Germany. A U.S. federal investigation is ongoing.
Daimler is merely the latest to be fined by German authorities for emissions violations and improper conduct. VW Group was hit first, and hardest. Porsche was fined $598 million in May; Audi was hit for $927 million last October. Many executives have been charged and/or indicted on charges ranging from fraud to market manipulation. Current Volkswagen CEO Herbert Diess was indicted for the latter in charges brought by German authorities on Tuesday.