Australia Fines Emirates $10.2 Million for Price-Fixing

Australia Fines Emirates $10.2 Million for Price-Fixing

A federal court in Australia has fined Emirates $10.2 million (A$10 million) for price-fixing.

The Sydney court found the United Arab Emirates-based airline had engaged in cartel conduct in conjunction with other carriers by fixing prices relating to fuel and other surcharges on lanes to Australia.

“This settlement with Emirates brings the total penalties ordered in Australia against international airlines involved in the cartel to $68 million,” said Rod Sims, chairman of the Australian Competition & Consumer Commission.

“These are the highest penalties to have ever been ordered in an ACCC investigation,” Sims said. “This result sends a strong message that the ACCC and the Australian courts will not tolerate any business — regardless of size or country of origin — engaging in cartel conduct that harms competition in Australia.”

Emirates is the 10th airline to reach a settlement over the charges. Next week, the Australian Competition and Consumer Commission’s proceedings against Singapore Airlines, Cathay Pacific, Air New Zealand and Thai Airways are scheduled to be heard in the federal court in Sydney.

“The ACCC has been pursuing this large and complex litigation for four years, so the October trial will be an important milestone in our continuing fight to stop cartel conduct,” Sims said.

Contact Mike King at michael@borderline.eu.com.