Hyundai Capital America, Kia Motors’ financing arm, has reached a settlement regarding charges in the U.S of illicitly repossessing vehicles belonging to military service members. The U.S. Justice Department alleges that Hyundai repossessed 1,799 vehicles belonging to service members from 2008 to 2020 without obtaining appropriate court orders, a violation of U.S federal laws.
In response, Hyundai Capital acknowledged the allegations and will pay a $5 million civil penalty. It will also provide $24,000 to each of the 76 service members whose vehicles were improperly repossessed and $500 to each of the 1,723 service members who had court orders issued without proper legal representation.
The company has apologized for any harm and inconvenience caused and affirmed their commitment to ensuring full compliance with all laws protecting servicemembers in the future.
