Audi's head of Sales and Marketing, Abraham Schot, was today appointed as the German carmaker's interim chairman as CEO Stadler is taken in custody for matters relating to the diesel emissions scandal.
Schot has been the head of for sales and marketing at Audi since September 1, 2017.
Audi confirmed the arrest of Stadler by Munich prosecutors on June 18th and said Stadler has been released from his duties as the member of the Board of Management at both Audi and VW Group upon his request. "This release applies temporarily, until the circumstances that led to his arrest have been clarified," according to a company statement.
Leading Audi since 2010, 55-year-old Stadler was taken into custody following an investigation on charges of fraud and misrepresentation.
"The accused was brought before the investigating judge, who ordered the execution of the pre-trial detention," the Munich public prosecutor's office said in a statement.
As a reason for Stadler's arrest, the Munich public prosecutor's office cited "evidence suppression".
It added: "We cannot comment on the substance of our background in the light of the ongoing investigations. For Mr Stadler, the presumption of innocence continues to apply."
He has continuously denied any wrongdoing in the Dieselgate emissions manipulation scandal. Another Audi board member, Bernd Martens, was named as a key suspect by the same office on 30 May.
German media reports suggest evidence obtained in the recent questioning of other former Audi officials link Stadler to possible diesel emissions manipulation from 2012 onwards.
Stadler’s detention comes one week after German police and members of the Munich public prosecutor's office raided his private residence in Germany.
With inputs from Greg Kable (Autocar UK)