By Jhoo Dong-chan
The Ministry of Environment rejected German auto maker Volkswagen’s recall plan, Thursday, for a second time.
A ministry official said, “There is a lack of indications in the company’s report to the ministry how it caused emission cheating. It also failed to provide detailed technical information about how to deal with the problem.”
The ministry said it will not approve the company’s recall plan unless it submits a sincere report with detailed information. If Volkswagen does not comply with the ministry’s demand, the government said it might cancel the recall plan itself.
If the plan is cancelled, the company would have to go through the recall process from the bottom again.
The ministry was expected to carry out an emissions and mileage test as soon as it got the recall plan with corrected software information from Volkswagen.
In September last year, Volkswagen was found to have installed a "defect device" in its vehicles to cheat on laboratory tests of nitrogen oxide emissions levels.
After conducting its own tests, the ministry ordered an immediate suspension of sales of Volkswagen’s seven models and then made the company recall 125,522 vehicles of the company’s 15 models last November. The company was also fined 14.1 billion won.
Volkswagen was also ordered to file a report to specify its plan to correct the defeat devices by January 4, but the company reportedly came up with an insincere report that contains only a two-line explanation about the devices.
The Environment ministry immediately rejected the report and ordered VW to do it again.
The ministry then filed complaints with the prosecution against Johannes Thammer, the Korean branch's executive director, and Terence Bryce Johnsson, Audi's head of overseas sales, on charges of fraud, obstruction of justice, and violation of the Clean Air Conservation Act.
Violators may receive a sentence of up to 100 million won in fines or seven years in prison.
In the U.S., Volkswagen immediately provided each U.S. customer a 1,000-dollar cash and gift coupon to subdue public dissatisfaction but snubbed its Korean customers.
Volkswagen has recently appointed a new sales head of its Korean unit while the incumbent CEO is under investigation and also has a travel ban imposed on him.