BRUSSELS -- The European Commission will on Wednesday discuss possible action against a German law which gives a regional government a blocking minority in autos giant Volkswagen, a European Union source said on Monday.
The source, speaking to Reuters on condition of anonymity, was confirming that the decision will be on the Commission's agenda at its regular weekly meeting.
The Volkswagen law has under the EU executive's scrutiny as part of a campaign against rules which restrict the free movement of capital in the EU.
The state of Lower Saxony has just under 20 percent of VW's common stock and 20 percent of the voting rights.
This effective blocking stake is aimed at safeguarding local jobs and making sure the manufacturer does not fall under the control of a foreign company.