April 24, 2017 / 4:51 PM / 2 years ago

French prosecutors open formal probe into PSA Group diesel emissions

Employees assemble cars at a production line of Dongfeng Peugeot Citroen Automobile factory in Wuhan, Hubei province, February 13, 2014. REUTERS/Darley Shen

PARIS (Reuters) - French prosecutors have opened a formal investigation into suspected diesel emissions test-cheating by PSA Group (PEUP.PA), the maker of Peugeot and Citroen cars, a judicial source said on Monday.

The company is being investigated for alleged consumer fraud offences, the source said. In February, Paris-based PSA became the fourth carmaker to be referred to prosecutors by France’s DGCCRF consumer fraud watchdog over suspected diesel test manipulation in the wake of the Volkswagen (VOWG_p.DE) “dieselgate” scandal.

PSA has denied any wrongdoing and repeated on Monday that it complies with all laws in the countries where it operates.

Reporting by Laurence Frost; Editing by Richard Balmforth

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