Apr 25, 2016

    Mitsubishi Motors aims to placate angry customers


    JAPANESE carmaker Mitsubishi Motors plans to compensate customers in a bid to limit the fallout from a fuel-efficiency cheating scandal, the Nikkei reported on Saturday.

    Authorities raided the company's office on Thursday after the firm admitted it had falsified efficiency data for hundreds of thousands of vehicles.

    Mitsubishi Motors shares plunged more than 40 per cent in the three days after the news emerged.

    The scandal has raised questions about the Japanese carmaker's future, after German giant Volkswagen posted its first loss in 20 years last year because of the fallout from its own huge emissions-rigging scandal.

    Mitsubishi Motors plans to offer to cover the extra fuel costs incurred by vehicle owners because their engines were less efficient than advertised, the Nikkei reported.

    The move aims to "appease angry customers' non-stop inquiries" and prevent an "exodus" of buyers, the Japanese business daily said, without giving its sources.

    "I can't help but have doubt about the company's basic attitude towards compliance," Japan's transport minister Keiichi Ishii told reporters on Friday.

    "This is extremely regrettable."