South Korea to penalize Mercedes-Benz for unlawful promotion of cars
Category: #headlines  By Mateen Dalal  Date: 2022-02-07
  • share
  • Twitter
  • Facebook
  • LinkedIn

South Korea to penalize Mercedes-Benz for unlawful promotion of cars

Antitrust regulator of South Korea will impose a heavy fine on Mercedes-Benz worth US$16.87 million after the German automaker submitted false information on the gas emissions of its diesel-powered cars.

According to the Korea Fair Trade Commission (KFTC), Mercedes-Benz tampered with pollution mitigation devices installed in vehicles with an illegal software which allowed them to run efficiently at lower levels under normal driving conditions unlike during certification tests.

Unethically covered emission information and rigging suggests that in reality, these cars failed to pass the permissible emission levels despite efforts of Mercedes-Benz to defend by presenting falsified data.

Korean unit of Mercedes-Benz also deceitfully promoted its vehicle’s capabilities to sustain nitrogen oxide emissions at a minimum level advertising their adherence to Euro 6 emission standards.

KFTC mentioned that it makes sense to fine the country’s leading imported car sales operator for hampering reasonable purchase choices of consumers by attaching false and deceptive data to advertise the emission reduction capabilities, particularly following the Dieselgate controversy. 

The Korea Fair Trade Commission also discovered that, these misleading advertisements supported altogether 15 models, which it bragged about on its catalogue, magazines and press releases conducted for three years between 2013 to 2016.

Further the commission added that, despite the claims of Mercedes-Benz associated with ethical description of emission mitigation devices performance, the fact that it conveniently masked the intentional use of illegal software to boast the exceptional performance of its vehicles is unethical.

These unlawful and misleading practices threaten the fair trade system by hindering the decision making process of consumers.

Speculations have it that the regulator demanded for corrective steps or fined Audi-Volkswagen Korea last year along with Stellantis Korea, Porsche AG and Nissan Motor Corporation under similar rigging cases.

Source Credit: https://www.theedgemarkets.com/article/south-korea-fines-mercedesbenz-us1687-mil-over-emission-rigging

  • share
  • Twitter
  • Facebook
  • LinkedIn


About Author

Mateen Dalal    

Mateen Dalal

Mateen has completed his Bachelor’s degree in electronics and telecommunication engineering, post which he lent his proficiency to the industry, working as a quality and test engineer. Drawn intricately toward the field of content creation however, Mateen soon switc...

Read More

More News By Mateen Dalal

Meter nabs $38Mn to scale business & support faster enterprise internet
Meter nabs $38Mn to scale business & support faster enterprise internet
By Mateen Dalal

Meter, Inc., an internet & Wi-Fi infrastructure provider for businesses, has recently announced that it has successfully raised $38 million in a Series B funding round that was headed by Lachy Groom and Sequoia Capital. Industry leaders like D...

MakeMyTrip teams up with banks to offer ‘Book Now Pay Later’ option
MakeMyTrip teams up with banks to offer ‘Book Now Pay Later’ option
By Mateen Dalal

The BNPL (book now pay later) payment has been introduced on MakeMyTrip on bookings for flights, travel, or hotels as well as on the Goibibo app MakeMyTrip, the online travel company, has recently said that it has collaborated with 15 banks, finte...

BlackBerry collabs with Midis Group to expand Cybersecurity biz growth
BlackBerry collabs with Midis Group to expand Cybersecurity biz growth
By Mateen Dalal

BlackBerry Limited, a Canada-based software company focused on cybersecurity, has recently entered into a partnership with Midis Group, a leading technology company offering advanced hardware and software solutions, to expand its market footprint acr...