AP source: 2nd VW employee arrested over emissions scheme

MarketsAssociated Press

A person briefed on the matter says a second Volkswagen employee has been arrested in the company's emissions cheating scandal.

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The person says Oliver Schmidt, a former general manager of the engineering and environmental office for VW in America, was arrested during the weekend in a federal criminal investigation. The person didn't want to be identified because they are not authorized to speak aobut the case.

Schmidt's bio for an auto conference says he was responsible for making sure vehicles sold in the U.S. comply with air quality regulations.

It is unclear exactly what charges he faces. The New York Times reported that Schmidt is expected to be arraigned Monday in Detroit.

Volkswagen has admitted that it programmed diesel vehicles to turn on during tests and off while on roads.