[THE INVESTOR] Korea’s Transport Ministry on Dec. 24 fined BMW 11.2 billion won (US$9.93 million) for allegedly trying to hide faulty parts and belatedly recalling its vehicles after some engines caught fire.
About 40 engines of BMW vehicles caught fire earlier this year, prompting the German luxury carmaker to recall some 100,000 vehicles in August.
An investigative panel made up of civilian experts and government officials found that the fires were caused by faulty exhaust gas recirculation valves, the ministry said in a statement.
The ministry ordered BMW to replace all EGR systems in the recalled vehicles and to conduct further checks on the durability of the EGR system, according to the statement.
It has referred the case to prosecutors for further investigation, the statement said.
By Song Seung-hyun and newswires (ssh@heraldcorp.com)