[captioning performed by the national captioning institute, which is responsible for its caption content and accuracy. visit ncicap.org] host: you are watching dw world news from berlin. a new chapter opens in a volkswagen scandal. nearly one million vehicles are affected by what the company calls unexplained inconsistencies in in missions. these are different than the ones that have already called -- caused so much controversy. we explain. corruption sweep in germany. tax authorities raided the headquarters of a stockbroker association. they are looking into the bid to host the 2006 world cup.

and overcoming their differences. angela merkel's governing coalition moves one step court -- closer to slowing the influx of migrants. i'm sarah kelly, thanks to have you with us. tonight, the volkswagen scandal has just blown out big-time. an internal investigation at the german car giant has revealed that hundreds of thousands of vehicles may have false carbon dioxide levels. until now, the software that is vw admitted installing to bypass regulations affected nitrogen oxide. now, more cars and a lot more money are on the line. volkswagen is in the process of testing all of its models and reviewing the potential environmental impact. now the german car maker has said it uncovered what it calls "inconsistencies in carbon dioxide in missions -- emissions

levels." folks wagon said economic risks tied to the findings could cost a rep -- supposed right in -- volkswagen said economic risks tied to the findings could cost 2 billion euros. six cylinder models emit more pollutants than permitted. models sold in the u.s. for years are also affected. that the complaints are snowballing is a catastrophe for volkswagen. in the past years, the company's top brass have cut an apologetic figure. the ceo had to do so again today.

but a change of direction can be difficult. as long as more discrepancies continue to emerge. sarah: with some analysis on all of this, i am joined in studio by our business anchor and lars halter is on the line for us from new york. i am going to begin with you, then, because this is a scandal that has had so many twists and turns. ben: one thing safe to say until today was this is the diesel-gate scandal. it now involves petrol gas, gasoline engines. we are taught -- we were talking about 11 million vehicles. we are now talking about an extra 800,000 vehicles. as you have said time after time, new details and facts have been coming out, and that is

playing havoc with shareholders. sarah: they are a little upset. tell us more about that. how did they react today? lars: obviously, it is a huge shock here. one point is particularly interesting when you look at the auto market in the united states. diesel was always second fiddle here to gasoline. gasoline is where most cars are sold. diesel-gate, as we called it before, was an issue, but a minor issue compared to the size of the market here in america. now we see gasoline cars with similar problems. of course, that is a whole different level. it is going to be blown out of proportion, and for shareholders, that is just as much a shock as it is for car buyers. ben: people have been telling shareholders to stay away from the stock. it has been up-and-down. i guess this is really going to

bring things home for a lot of people. lars: of course. as i said, people were absolutely -- there is a saying on wall street. never try to catch a falling knife. you do not necessarily have to rush in to buy a cheap because with every scandal, there is always more coming out. now it seems there is not only more coming out, but the score he -- the story is getting bigger and bigger by the day. ben: what is the sales forecast in the u.s. question mark we have new figures out today. lars: numbers are quite interesting. auto sales are up about 12%-13% nationwide. g.m., chrysler, ford, all up. volkswagen is flat. flat is worse than the market but may be better than people have expected, but that is only due to relatively strong numbers still coming out of audi.

in america, many consumers did not connect the dots. they did not look at audi as a volkswagen brand. we have learned in the last couple of days, of course, that audi is directly involved. some of those numbers are going to go away in the next couple of weeks. smokes lichens numbers, being week already, are going -- volkswagen has numbers, being week already, are going to go way down. sarah: this latest element of the scandal is probably going to cost about 2 billion euros. is that likely to be accurate? ben: the company set a reliable assessment of the scale of these irregularities is not yet possible. they have already put aside 6.5 billion euros, 2 billion just for this 800,000 vehicles. we are talking about 11 million diesels. it's a hard one to call, sarah, but we will certainly see.

sarah: this is definitely not the last we have heard of this story. thank you. we appreciate that analysis. we are going to move on to some other news. a host of new questions for the german soccer association to answer about financial irregularities today. this after tax authorities raided its offices. prosecutors are conducting an investigation over a multimillion euro payment made in connection with its winning bid to host the world cup almost 10 years ago. police also raided the homes of the current president and his predecessor. i am joined by our sports correspondent in studio. what are german authorities looking for? nick: the taxman is looking for his money. that is why they stormed the homes. they are looking for the 6.7

million euros we have been talking about for the last two and a half weeks. originally, there was talk about a cultural event that never happened as a gala event of the opening of the 2006 world cup. the tax man is saying wait a minute. the event didn't happen. where is my money? today, they stormed hq, looking for hard drives, anything associated with the 2006 world cup. there is a ten-year limit to how long you can deal with tax issues in germany. they are when you're within the limit. if these three -- one year within the limit. if these three are found guilty, they could be in prison anywhere from three months to 10 years. sarah: this whole scandal has to do with the fifa world cup. what did fifa have to do with this? nick: everything, but nothing according to fifa themselves.

they have denied everything. their whole corruption scandal is what set this ball rolling. people started to get the feeling ok, they are corrupt. maybe other aspects are corrupt as well. that is why german german last -- german journalists who found out about the 6.7 billion euros were paid for the world cup. one person said that was to give to fifa so that fee for would give them 170 million euros in return as organizational support. it's all very strange. but he says they should not have agreed to fifa's offer. fifa keeps denying they are a part of this. for someone innocent, their name keeps popping up. sarah: thank you for breaking it all down for us.

now to the new developments in germany's struggle over how to deal with the migration crisis. two of the parties in the governing coalition have now agreed on a key issue of the country's refugee policy. after intense discussions, angela merkel dropped her opposition to the establishment of so-called transit zones to process asylum seekers near the country's borders. the head of the csu party says the unprecedented influx of migrants means that the government must distinguish between people escaping persecution and those coming for economic reasons. there is still tension with the other party in the coalition, which opposes the introduction of transit laws. i am joined mao by andrea wilkins, author and founding member of the european -- joined now by andrea wilkins. they are going to try to come to a final agreement on thursday.

pon the table addresses thetly problems at hand here in germany? >> we have a fierce debate, as you said, and this is normal. you should see it as a normal thing with one of the biggest challenges ahead, the biggest refugee crisis since we were accounting numbers on refugees. did we expect we were just sail through it without debating, without dialogue, without a fierce debate? we had a fierce debate, and there are no easy solutions on the shelf. so, whatever is discussed, i think it is a good way of -- a good step forward. i am hopeful that we are coming to a compromise that gets us one or two steps further. sarah: what sort of message does this send? wouldn't it be to germany's advantage to present a united front in europe? >> we have a position. chancellor merkel has been very clear and strong right from the

beginning. she is the chancellor and she said we will manage. now, we need to talk about the logistics. it's a difficult challenge. it's a challenge may be for a generation. there are no easy solutions. we have to discuss it. we are a democracy. there are ways to discuss it, different ways, but we have this debate. we are to democracy. it's normal. sarah: what you think we will see on thursday, and will it be enough? >> i think we will see a compromise. we will muddle through, so to speak. two steps forward, one step back, maybe. transit zones or whatever, we have to find solutions within our value system. i think that is the most important thing. we have values of asylum, values of solidarity. logistics is important, but the values come first.

sarah: is this a defeat for angela merkel? a couple of months ago, she basically opened her arms to refugees arriving from syria. is this a defeat for her? >> we will look of the situation, maybe in 10 years time, and then see whether it was a defeat or not. i think it is one of the strongest points in her whole chancellory that she has said right from the beginning, we will manage the situation. we have not created it, but it is there. we are strong enough to deal with it. we have a strong enough economy. we will work together as our european partners -- with our european partners. that sends a strong message that should resonate. sarah: thank you very much for your perspective. now to some other stories making news around the world. investigators in cairo are investigating the black boxes of the russian plane that crashed

in egypt. unconfirmed reports say noises and characteristic of a normal flight were recorded in the cockpit just before the crash. there was a heat flash. all 224 people on board were killed. turkish police have the taint 35 people, including bureaucrats and police officers in an operation targeting the government. the raids came after the party secured a return to single party rule. the detainees are accused of supporting a muslim cleric. he is now accused of heading a terrorist operation. a tropical cyclone has hit yemen. it caused heavy flooding and widespread damage with winds of 130 kilometers per hour. at least three people have died in the storm. the cyclone could bring 10 years worth of normal rainfall to the arid country, which is also the

scene of a bloody conflict. we have to take a short break. when we come back, we will have a whole lot more news and more business. stay with us.

sarah: welcome back. a reminder of the headlines we are following. volkswagen says an internal investigation shows 800 thousand more vehicles has what it calls inconsistencies related to carbon dioxide emissions. the company says it does not compromise the safety of any vehicles. authorities have rated the headquarters of the german soccer association, investigating alleged payments made in relation to germany's bid to host the 2006 world cup.

oscar pistorius's lawyers have been in court today fighting a fresh attempt to convict him of the murder of his girlfriend. the former olympic athlete is under house arrest after serving 11 months in jail for the lesser charge of manslaughter. prosecutors are asking the south african supreme court to reassess the ruling. >> this is the moment when oscar pistorius got away with murder. that is what state prosecutors say. probable homicide is similar to manslaughter. now the supreme court of appeals has to decide whether the sentence is correct. prosecutors argue a principle that means that a person can be convicted of murder if they understood that their actions could caused someone -- casa monte die, but went ahead anyway. -- cause someone to die, but

went ahead anyway. >> he fired for shots -- quarter shots. -- four shots. he went ahead and fired four, not just one. thanks in his first trial, pistorius pass defense said he shot at the door thinking there was an intruder -- >> in his first trial, pistorius's defense said he shot at the door thinking there was an intruder in there. >> the women in south africa especially, is 11 months enough time for killing somebody? they have to go through t that,t at the same time, i don't wish any harm. clicks now the judges will

decide whether to convict pistorius of murder, uphold the current sentence, or order a retrial. a murder conviction would lead to a jail sentence of at least 15 years. sarah: in less than a week, voters in myanmar will take part in what is expected to be the most free election in 25 years. following decades of political persecution by the military regime, the nld party is tipped to win by a landslide. many are now hopeful that the poll could bring about real change. critics over the last few weeks, -- >> over the last few weeks, he has been on the campaign trail almost every day. he knows that most of the people are not here because of him. they are here because he stands for her, the national icon, unsung sue chee -- mother sue.

i think if she becomes the leader, the education will be better and the economy will improve. we admire the lady for her sacrifices and her attempts to develop the country. when he meets voters, he tries to convey a clear message. >> it is time to change, to change really, and then vote for the nld. >> but not everyone is convinced i the slogans. nld's main rival is the ruling party, and it too has supporters here. clicks even though -- >> even though she doesn't say it outright, her followers are attacking the current government. saying they cannot bring about change or development. but certain changes have already

happened, and i think it is just not true that the current government is no good. >> wherever mother sue goes, she briefs life and hope into democracy, maybe now more than ever. >> for many people here, she embodies the promise of a better life. it is her they pin their hopes on, despite the fact that her political maneuvering since becoming a member of parliament has left some marks on her previously spotless reputation. >> he is one of those on the receiving end of that political maneuvering. the seasoned parliamentarian is now running as an independent candidate. for once, the nld wooed her to run for them, until she finally

gave in. but when the list of candidates came out, she was not on it. why didn't she intervene? sarah: time for business news. ben is back with us. it was a big day for big business in germany. ben: it was. every year, key players meet for a so-called day of german industry. this year there was a key difference. the challenge of integrating record numbers of migrants into the market took center stage. reporter: these men are learning how to install heating. they hope their training will eventually help them find a job in a german company. there future bosses could be sitting here, waiting to greet angela merkel. before going on the political offensive, she came here to

rally support for her refugee policy. >> i am convinced we can overcome this challenge at the german-austrian border. in germany, we must do what we can, no question. but if we think too small, think too much about ourselves, it puts europe at risk. that is why i am very thankful to you. we need a europe-wide approach. clicks while german business leaders are willing to pull their weight, they are also kier -- >> while german leaders are willing to pull their weight, they are also key to stress that you cannot bypass qualifications and language skills. the needs of the german labor department cannot be designed according to one's wishes. the aim is to integrate as many refugees as possible into the labor market, the faster, the better.

but for many people arriving in germany, the jobs market is still far out of reach. many asylum seekers hope taking classes will help them find work once their cases have been processed. ben: google cofounder larry page has spoken out about his new parent company, alphabet. he described the new company as similar to a venture capital firm. he also jokes that he read three books about naming things before settling for alphabet. he also touched on his designs to do more business in china. you and experts -- united nations experts more and there is -- warn there is worse to come from climate issues to conflicts in the middle east. clicks these people are desperately waiting for

something to eat, for aid to drop out of the sky. many people in south sudan would starve without it. war has been raging here for two years, prompting many to flee. the food available to buy is expensive, and to top it all off, el niño is wreaking havoc. the weather phenomenon is expected to reach its high point at the end of the year. the results will be dramatic. the u.n.'s warning that harvest in many parts of africa could be destroyed by drought. the number of undernourished children is on the rise in south sudan. the u.n. estimates that 400 5 million euros in international aid will be needed to combat the threat of -- 405 million euros in international aid will be needed to combat the threat of famine in africa.

in southern africa, at least 13.5 million inhabitants face the threat of famine. this year, el niño is set to cause particularly dramatic destruction. flooding is a growing threat and concern. northern tanzania has already experienced enormous rainfall that has resulted in an outbreak of cholera, which has already claimed 54 lives. the world health organization is sounding the alarm. ben: that is it from the business desk tonight from me at least. back to you, sarah, and the favorite sport of yours, baseball. sarah: and of yours. in baseball news, as we just mentioned, the kansas city royals returned home to a huge welcome after winning the world series on sunday.

players went straight from the airport to kauffman stadium, where a crowd of faithful fans had gathered to show their gratitude. the victory ended a 30 year title drought for the royals, and the celebrations are not over yet. and even bigger parade is expected in downtown kansas city on tuesday. congratulations to all you royals fans out there. that is all we have time for here. thank you very much for tuning in. i will seem again at the top of the hour. -- see you again at the top of the hour.

announcer: "euromaxx highlights." and here is your host. host: hello and welcome to our highlights show, bringing you the best picks of the week. here's a look at what's coming up. whitewater adventure -- our reporter got wet at the extreme kayaking world championships. growing furniture -- how one designer makes trees grow into the shape of chairs and tables. top chef -- helene darroze is named world's best female chef. extreme sports have taken off in popularity over the last few years. aside from extreme hiking, biking, and skiing, there's also extreme kayaking. here, as in most extreme sports,