Judge Asks SEC Why It Waited Years Before Suing VW in Bond Case

A federal judge sharply criticized the Securities and Exchange Commission at a hearing May 10, assailing the regulator for waiting until two months ago to sue Volkswagen AG over its emissions scandal when other government agencies reached settlements years earlier.

Judge Charles R. Breyer of the U.S. District Court for the Northern District of California asked SEC lawyers why it took so long to formally accuse the German automaker of failing to tell investors that its diesel vehicles violated emission standards, according to a transcript of the San Francisco hearing. Breyer said the case’s timing is at odds with the ...