BMW Fined $10 Million in South Korea Over Engine Fires Crisis The Automaker Tried to Cover Up

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South Korea said Monday, December 24, it will fine German automaker 11.2 billion won ($10 million) for allegedly dragging its feet in recalling cars with faulty engines linked to dozens of engine fires.

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Engine fire crisis

South Korea’s government is fining $10 million over its handling of a spate of engine fires in the country.

In a statement Monday, said it launched the recall “as soon as the root cause of the fire was confirmed.” The statement didn’t address the allegation that the automaker initially tried to cover up the problem.

The Ministry of Land, Infrastructure and Transport said Monday that as well as imposing the 11.2 billion won ($9.9 million) fine, it will refer the case to prosecutors to decide whether criminal charges are necessary.

Source: AP Photo/Ahn Young-joon

’s crisis in South Korea erupted over the summer as dozens of reports came in of its vehicles bursting into flames. The German automaker said the fires were the result of a problem with the cars’ exhaust systems and began checking vehicles that could be at risk.

South Korea’s Transport Ministry its investigation panel after a five-month review concluded that the German automaker deliberately tried to cover up technical problems and moved too slowly to recall vehicles after around 40 of its cars caught fire earlier this year. The ministry found the fires to be caused by faulty valves in the vehicles’ exhaust gas recirculation (EGR) coolers.

apologized and recalled some 172,000 vehicles of 65 different models in July and October over the fires.

Source: AP Photo/Ahn Young-joon

In August, it announced a recall for Europe and some Asian countries — including South Korea — of 480,000 cars affected by the same problem, before expanding it to more than one million additional diesel cars two months later.

Junghyun Kim, an official from Korea, said there had been no reports of injuries linked to the fires in South Korea.

In South Korea, 6 out of 10 imported cars are from Germany, with selling nearly 39,000 in the first 6 months of this year, according to the Korea Automobile Importers and Distributors Association.


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BMW Fined $10 Million in South Korea Over Engine Fires Crisis The Automaker Tried to Cover Up
Title
BMW Fined $10 Million in South Korea Over Engine Fires Crisis The Automaker Tried to Cover Up
Description
South Korea said Monday, December 24, it will fine German automaker BMW 11.2 billion won ($10 million) for allegedly dragging its feet in recalling cars with faulty engines linked to dozens of engine fires.
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