South Korea plans to fine Nissan Motor 330 million won (£195,000;$279,920) for allegedly manipulating emissions results on one of its car models.
Following a probe into 20 diesel car models, the environment ministry claims Nissan’s Qashqai sports utility vehicles were found to have been fitted with a so-called defeat devices.
It is now looking to recall of hundreds of the vehicles and sue the head of Nissan’s Korean operations.
Nissan has denied any wrongdoing.
“Nissan Motor has never illegally manipulated any vehicles we have produced so far and used defeat devices in those cars,” the Japanese automaker said in a statement.
South Korea conducted the probe after learning that Germany’s Volkswagen had falsified emissions test last year.
Last month, Japanese car manufacturer Mitsubishi Motors became embroiled in an emissions scandal after it admitted to having falsified data for decades.
Nissan is set to become Mitsubishi’s biggest shareholder after agreeing last week to buy a 34% stake in the company.
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