Qantas coughs up record fine

Qantas have been stung by New Zealand's highest-ever penalty for price-fixing after the High Court in Auckland ordered the airline to pay $6.5 million.

The payment came after a pre-trial settlement in the air cargo cartel case, and the Judge gave Qantas a 50 percent discount for co-operating with the Commerce Commission.

“When parties admit breaches of the Act early and co-operate with the Commission’s investigation there are significant benefits for them, and it is in the public interest, since court hearings can be a costly and drawn-out way of resolving matters,” said Mary-Anne Borrowdale, the Commission's General Counsel for Enforcement, .

The cartel case, ongoing against several other international airlines, concerns allegations of collusion of a fuel surcharge.

Qantas staff are said to be made available as witness in for the Commission in the other prosecutions.

The Commission has also settled with British Airways and Cargoplex International Airlines.

Airlines still defending Commission charges are: Air New Zealand, Cathay Pacific, Emirates, Japan Airlines , Korean Air Lines, Malaysian Airlines, Singapore Airlines and Thai Airways.

The Commission prosecutions follow similar action by regulators in Australia, Europe and the United States. Total fines imposed internationally to date exceed $2 billion.

This article is tagged with the following keywords. Find out more about My Tags

Post Comment

3 Comments & Questions

Commenter icon key: Subscriber Verified

If oil cartels are legal, why can't airline cartels be??

Reply
Share

you for got to mention shipping? Ok on the sea but a no no in the air ? how does that work?

Reply
Share

Or if the government funds the cartel, its legal but when the private sector funds it, it is not. General practitioners only get government primary health care subsidies if they agree to collaborate via cartels called Primary Health Organisations. Patients cannot choose their PHO - they must belong to the one their GP chooses for them. I can at least choose whether I get fleeced by the 'OneWorld Cartel' or the 'Star Alliance' Cartel.

Reply
Share

Post New comment or question

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.

NZ Market Snapshot

Forex

Sym Price Change
USD 0.7868 -0.0009 -0.11%
AUD 0.9204 -0.0025 -0.27%
EUR 0.6311 0.0013 0.21%
GBP 0.4998 0.0010 0.20%
HKD 6.1019 -0.0037 -0.06%
JPY 92.6490 0.0020 0.00%

Commods

Commodity Price Change Time
Gold Index 1196.6 -2.970 2014-11-26T00:
Oil Brent 79.4 -0.640 2014-11-26T00:
Oil Nymex 73.7 -0.340 2014-11-26T00:
Silver Index 16.6 0.000 2014-11-26T00:

Indices

Symbol Open High Last %
NZX 50 5457.4 5462.1 5455.4 0.00%
NASDAQ 4760.2 4788.0 4758.3 0.61%
DAX 9934.8 9992.7 9915.6 0.60%
DJI 17812.2 17833.8 17814.9 0.00%
FTSE 6729.2 6749.9 6729.2 -0.09%
HKSE 24169.8 24228.1 24112.0 -0.45%
NI225 17310.5 17346.8 17383.6 -0.78%