While the German auto company offered to return Rs 11 crore, allegedly spirited away by the company's sacked India representative Helmuth Schuste, Y S Rajasekhar Reddy, chief minister of Andhra Pradesh, refused the offer.
"In view of the on-going CBI inquiry into the issue, we have declined to accept the money. We are more interested in Volkswagen setting up its car plant here," Reddy said.
Frank Elbe, Volkswagen's special envoy, called on the chief minister and sought to hand over the cheque for Rs 11 crore owning moral responsibility for the alleged scam.