Toyota Motor Korea fined 817 million won for false advertisements
Toyota Motor Korea fined 817 million won for false advertisements
  • Lee Jun-sung
  • 승인 2019.01.16 13:52
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Toyota Motor Korea was fined 817 million won and received an order to stop false advertisements from the Fair Trade Commission (FTC).

 According to the FTC on Jan. 15, Toyota Motor Korea advertised that RAV4 vehicles, which were released in Korea, were selected as the Top Safety Pick(TSP) vehicles by  the U.S. Insurance Institute for Highway Safety (IIHS) through catalogues and press releases since October 2014. 

But the 2015-2016 RAV4 vehicles from Toyota in Korea were not equipped with safety reinforcement materials (bracket), unlike those from the U.S. that were selected for the TSP vehicles of IIHS.

Although Toyota Motor Korea said in small letters at the bottom of the catalog, "The photos and contents contained in the catalog may differ from the actual specifications of the domestic launch model," the FTC believes that the contents of the ad are not directly related and that it is difficult for consumers to recognize the exact meaning.

According to the commission, 3,624 relevant vehicles were sold. The related sales are about 100 billion won and the penalty rate is 0.8 percent. 

Toyota Motor Korea did not promise to compensate consumers for damages. Accordingly, RAV4 vehicle buyers have to decide whether to claim damages based on the FTC's disciplinary action.

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