Volkswagen Fined $32 Million for False Advertising in South Korea


Volkswagen fined $32 million for false advertising in South Korea; it is the largest ever fine slapped by the Fair Trade Commission (FTC)

German automaker Volkswagen has been slapped with a huge fine amount of $32 million in South Korea. The company has been accused for making false advertisements, claiming its cars in the country meet European emission norms and deliver better mileage, while being fitted with emission cheating software. This is the largest ever fine slapped by the Fair Trade Commission (FTC).

Volkswagen has been accused of cheating the emission norms in several countries across the world. The carmaker was found selling TDI diesel engine powered vehicles, fitted with an emission cheating software. This software helped the system in hiding the actual emission data during lab tests. In reality, these cars were emitting 40% more NOx than the permitted level.


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This is not the first time the South Korean authorities have taken strict action against Volkswagen. In August this year, emission regulators in the country have banned around 80 models comprising Volkswagen, Audi and Bentley cars. Also, the VW group was slapped with a fine amount of $15.98 million that time, because of cheating the emission norms in the country.

Now, the Fair Trade Commission has also said, it would ask the prosecutors to investigate the German brand’s office. Not only the Volkswagen, but its subsidiary brand Audi will be under the scanner as well. In a statement the FTC has said, it will file criminal complaints against five incumbent and former executives of the company.


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Apart from South Korea, Volkswagen group is facing legal action in several other countries as well, since the scandal came into light in September last year. The Dieselgate has impacted the sales of the Volkswagen in South Korea. In the first half of this year, the German automaker’s sales dropped by 33%, compared to the same period in 2015.