South Korea on Tuesday removed Volkswagen of its right to offer 80 models in the nation, part of the worldwide fallout from the automaker’s emission scandal.
While a fairly small market for the automaker, South Korea has been strict in its push to penalize Volkswagen. In the face of expanding public hostility to white-collar criminal activity, prosecutors have actually prosecuted a business executive in connection with the scandal. Lawmakers have also substantially raised fines for cheating on emissions tests.
Pressure is mounting worldwide for Volkswagen, which confessed in September 2015 that it had used emissions-cheating software in 11 million diesel-powered vehicles worldwide. Less than 2 months back, Volkswagen consented to pay up to $14.7 billion to settle claims by the government and vehicle owners in the United States. The business also faces criminal examinations and investor claims all over the world.
After the admission, South Korea moved quickly. Prosecutors raided Volkswagen workplaces in South Korea and questioned the company’s executives, seeking to discover whether laws on clean air and other problems had actually been breached.
In November, the authorities told Audi Volkswagen Korea, the local subsidiary, to recall 126,000 diesel-powered automobiles after revoking their certifications. The South Korean Ministry of Environment also fined the automaker 14.1 billion won, or $12.7 million.
