South Korea to slap VW with record fine of nearly $32 million, pursue executives over emission ads

South Korea to slap VW with record fine of nearly $32 million, pursue executives over emission ads
Volkswagen logo is pictured at the newly opened Volkswagen factory in Wrzesnia near Poznan. Image Source: Reuters
Written By: Reuters
Updated: Wed, Dec 07, 2016
10:21 am
Seoul, Reuters
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South Korea`s antitrust watchdog said on Wednesday it will file criminal complaints against several executives at Volkswagen AG`s South Korean unit and fine the company a record 37.3 billion won ($31.87 million) for false advertising over its vehicle emissions.

The fine, a record for false advertising in the Asian country, indicates South Korean authorities are in no mood to soften their particularly tough line on the German carmaker`s emissions-test cheating, having already suspended most of its sales in the country since August. 

ALSO READ: Volkswagen to pay $175 million to US lawyers suing over emissions 

The Fair Trade Commission (FTC) said it would ask prosecutors to investigate Volkswagen`s headquarters, its South Korean unit and five former and current executives including André Konsbruck, currently vice president of sales for the Americas at Volkswagen unit Audi, and Audi`s Head of Sales Overseas Terence Bryce Johnsson. 

The regulator said Volkswagen falsely advertised its cars as environmentally friendly vehicles that met pollution standards, although they were equipped with defeat devices designed to deceive government tests. 

ALSO READ: Volkswagen expects 5-digit number of job cuts in coming years: Report

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