BMW Korea levied W60.8b penalty for sloppy documentation

BMW Korea, the local unit of the Germany luxury carmaker, has been slapped with the highest-ever fine for a single automaker here of a total 60.8 billion won ($54.5 million) for sloppy certification documents of 28 models and selling 11 models made with unapproved auto parts, the government said Thursday.

According to the Ministry of Environment, BMW submitted underrated emissions results for 81,483 units across 28 models -- 10 diesel-powered and 18 fuel-powered models. The latest finding concerns documents of vehicles certified between 2012 and early 2015.

The ministry said it is expected to cancel certification of the concerned models in mid-November, after holding a hearing.

The automaker has also been imposed a penalty of 2.9 billion won for selling 7,781 vehicles across 11 models made without modification certification or modification reporting between 2013 and 2016, the ministry said. 

Due to the latest findings, BMW Korea has voluntarily suspended sales of seven models: BMW M4 Convertible, BMW M4 Coupe, BMW M6 Grand Coupe, BMW M6 Coupe, BMW X1 xDrive 18d, Mini Copper S Convertible, Mini Copper S.

“This issue is limited solely to irregularities in certification documents. There are no technical or safety issues with the vehicles,” said the spokesperson of BMW Korea.

“Vehicles meet the Korean technical and emission requirements and also the European or the US model requirements. Customers can continue to drive and use their vehicles as before with full peace of mind.”

High-end German auto companies Mercedes-Benz Korea and Porsche were also levied 2.9 billion and 7.8 billion won, respectively, for importing and selling cars without modification certification.

“There was no falsification or alteration of test results in certification by intention found in Mercedes-Benz vehicles during the Seoul Customs Office’s investigation. Accordingly, it is confirmed that there is no cancellation of product certification by the Ministry of Environment,” said Mercedes-Benz Korea.

“However, among 200,000 vehicles analyzed, customs import declarations were made for some vehicles after applying for certification but before the certification was issued and customs import declarations were made without modification certification or modification reporting.” 

By Kim Bo-gyung (lisakim425@heraldcorp.com)