Kia ordered to compensate consumers over false advertising

Kia Motors Corp., Korea's second-largest automaker, has been ordered to compensate its consumers for deceptive advertising, a court official said Monday.

The Seoul Central District Court has ruled that Kia should pay compensation ranging from 250,000 won ($223) to 1.15 million won to 25 owners of the company's Carnival passenger minivan, for falsely advertising about the vehicle's curtain airbags.

Kia reduced the number of installed curtain airbags from three to two rows when it launched a new model of the Carnival in 2009. The carmaker, however, has not excluded a clause on its brochures and official Web site that says the vehicle comes with three-row curtain airbags.

In a class action lawsuit, owners of the affected Carnival claimed that they purchased cars after they had been falsely informed, contending that they suffered damages.

"Kia should compensate the plaintiffs for inflicting property and mental losses," Judge Park Hyung-soon said in a ruling.

"Customers largely depend on the company's brochures and its Web site when they purchase products," he added. "Most of all, airbags are crucial pieces of equipment that protect passengers."

Meanwhile, Kia said it is currently reviewing whether to appeal the case. (Yonhap)