By Jessica Sier

Volkswagen AG said Wednesday that it will pay 9 million euros ($9.84 million) to settle investigations into Chief Executive Herbert Diess and Chairman of the Supervisory Board Dieter Poetsch, regarding their involvement in the company's diesel scandal.

The Braunschweig Regional Court and the German car maker have reached a deal to end the criminal probe into whether Mr. Diess and Mr. Poetsch failed to inform shareholders of the diesel scandal in a timely manner.

Volkswagen has denied the public prosecutor's office's indictment, brought in Sept. 2019.

"The Supervisory Board is convinced that Mr. Poetsch and Dr. Diess did not - in connection with the public prosecutor's office's accusation to which the market manipulation proceedings relate - breach any duties vis-à-vis Volkswagen," the company said.

"For this reason, it decided to indemnify Mr. Poetsch and Dr. Diess with respect to the payment of a fine in the amount of EUR4.5 million each."

Volkswagen is represented by law firm Gleiss Lutz.

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