Toyota's China auto finance company fined

08:07, September 21, 2010      

Email | Print | Subscribe | Comments | Forum 

Officials from a local administration for industry and commerce in Hangzhou, capital of East China's Zhejiang province, said Monday it has fined Japanese carmaker Toyota's auto finance unit in China for involvement in commercial bribery.

This is the first commercial bribery fine for both Toyota Motor Finance (China) and Toyota Motor Corp, the agency said in a statement.

Toyota Motor Finance (China) Co. offered rebates to encourage three dealers to have customers take loans from Toyota, rather than from local banks, between August 2008 and April 2010, it said.

An investigation showed the one-year leading rate at Toyota Motor Finance (China) Co. was 10 to 13 percent, compared with less than 7 percent at major state-owned commercial banks, it was revealed.

Officials said Toyota Motor Finance (China) Co. offered 4.5 percent of interest earnings as rebates to the three dealers.

The auto finance company illegally took in 426,352 yuan ($63,493) from 49 borrowers after business taxes, officials said.

The agency said it would confiscate all illegal earnings and impose a fine of 140,000 yuan.

Toyota Motor Finance (China), a subsidiary of Toyota Financial Service, was also under a similar commercial bribery investigation in Ningbo City, also in Zhejiang. Toyota Financial Service is the wholly owned car-loan financing firm of Toyota Motor Corp.

Source:Xinhua

(Editor:梁军)

  • Do you have anything to say?

双语词典
dictionary

  
Special Coverage
  • Premier Wen Jiabao visits Hungary, Britain, Germany
  • From drought to floods
Major headlines
Editor's Pick
  • Chinese Navy soldiers hold an evening party marking the upcoming 62nd National Day aboard Chinese Navy hospital ship "Peace Ark" in the Pacific on Sept. 28, 2011. The Chinese National Day falls on Oct. 1. (Xinhua/Zha Chunming)
  • Photo taken on Sept. 30, 2011 shows the crowd at the plaza of Beijing Railway Station in Beijing, capital of China. The railway transportation witnessed a travel peak with the approach of the seven-day National Day holidays on Friday. (Xinhua)
  • A man wearing high-heel shoes takes part in the 3rd annual Walk a Mile in Her Shoes, an event when men literally walk in women's shoes to raise awareness about ending violence against women, at Yonge-Dundas Square in Toronto, Canada, Sept. 29, 2011. (Xinhua/Zou Zheng)
  • Photo taken on Sept. 29, 2011 shows a cargo ship in danger on the sea near Zhuhai City, south China's Guangdong Province. Cargo ship Fangzhou 6 of Qingzhou of southwest China's Guangxi Zhuang Autonomous Region lost control after water stormed into its cabin due to Typhoon Nesat on the sea near Zhuhai Thursday, leaving 12 crew members in danger. Rescuers rushed to the ship and saved them by using a helicopter. (Xinhua)
  • Actress Gong Li poses for L'Officiel Magazine. (Xinhua Photo)
  • Demonstrators from the Occupy Wall Street campaign hold placards as they march in the financial district of New York September 29, 2011. After hundreds of protesters were denied access to some areas outside the New York Stock Exchange on September 17, demonstrators set up a rag-tag camp three blocks away. Zuccotti Park is a campground festooned with placards and anti-Wall Street slogans. The group is adding complaints of excessive police force against protesters and police treatment of ethnic minorities and Muslims to its grievances list, which includes bank bailouts, foreclosures and high unemployment. (Xinhua/Reuters Photo)
Hot Forum Discussion