Ingolstadt - Volkswagen has announced that it is removing Audi boss Rupert Stadler, who has been jailed in an emissions fraud probe since June, from his post and the parent group's board.
"The supervisory boards of Volkswagen AG and Audi AG agreed a deal with Rupert Stadler to end his offices and his contracts," the company said in a statement.
Stadler was arrested in June, a week after Munich police raided his home over charges of fraud and falsifying documents that allowed diesel vehicles equipped with software to cheat regulatory emissions tests.
At the time, prosecutors said the custody was aimed at stopping him "seeking to influence witnesses or other suspects" in the investigation.
The allegations are part of the wider "dieselgate" scandal involving 11 million vehicles worldwide from VW and subsidiaries like Audi, Porsche and Skoda that has gripped Volkswagen since 2015.