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Biz News Korea(Eng)
South Korea imposes record fine on Volkswagen for advertising false emissions
- Collected
- 2016.12.08
- Distributed
- 2016.12.09
- Source
- Go Direct
The Fair Trade Commission (FTC) announced on Wednesday it fined Audi Volkswagen Korea nearly 37.3 billion won ($32 million) for false advertising on vehicle emissions. The fine is the largest the FTC has ever imposed for false advertising.
The FTC said it would also file criminal complaints against five current and former executives of the company, including Audi Volkswagen Korea head Johannes Thammer and former Audi Volkswagen Korea Managing Director Trevor Hill, as well as Volkswagen Korea, Volkswagen Germany headquarters and Audi Germany headquarters.
"Audi Volkswagen Korea had advertised in South Korea that its cars met European emissions standards and that its diesel cars were environmentally friendly after it installed illegal software to cheat emissions tests,” the FTC said in a statement.
The FTC slammed the German carmaker’s deceptive act, saying it used consumer concerns about the environment in its marketing, which actually contributed to Volkswagen sales. The company’s car sales in Korea zoomed by 15 times from 4,170 units in 2008 to 62,353 units in 2015, the FTC said.
By Na Hyun-joon
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