If this scandal goes beyond VW, the wheels will come off an entire industry

Other carmakers deny they have cheated tests. But the consequences will be seismic if the guilt spreads to Volkswagen's rivals, or to petrol engines

Everyone does it. These are the words that have often sparked history's great corporate scandals. Companies or industries become detached from reality, and illegal or improper practices become seen as normal. It eventually ends in disaster.

This was the case for traders and Libor, and now it could be the case for the automotive industry.