A bribery scandal at the top of Volkswagen AG has resulted in chairman Bernd Pischetsrieder postponing the announcement of the construction of two new international production facilities.

A bribery scandal at the top of Volkswagen AG has resulted in chairman Bernd Pischetsrieder postponing the announcement of the construction of two new international production facilities.

The plant announcements have been delayed until the allegations of bribery connected with the construction of the production plant in India and the Angolan assembly plant have been cleared, a German daily newspaper noted.

According to one news source, the scandal had been sparked by the shock resignation of Helmuth Schuster, the personnel chief at Volkswagen's Czech subsidiary, Skoda.

Schuster last month resigned amid allegations that he had received bribes from potential suppliers. It was also alleged that he had used camouflage companies to secure lucrative international contracts at the prospective plants in India and Angola.

But last week, Schuster's close ally and the head of Volkswagen's general works council, Klaus Volkert also stepped down - more than nine months earlier than expected. It has been alleged by the online version of Germany's that Volkert was involved in Schuster's reported dealings.