Garuda Indonesia Agrees to Pay A $ 19 Million Cargo Pricing Fine | New
Garuda Indonesia has agreed to pay a fine of AU $ 19 million ($ 15 million) for its involvement in an air freight cartel, as ordered by the Australian Federal Court in a May 2019 judgment.
The ACCC says in an April 20 press release that the Federal Court last week ordered Garuda to pay the fine as well as a “contribution to the costs of the ACCC”, after the Indonesian national carrier withdrew its appeal submitted in June 2019.
The court allowed Garuda to pay monthly installments between December 2021 and December 2026. If a payment is missed, the remaining amount would be due within 30 business days.
Between 2008 and 2010, the Australian Competition and Consumer Commission (ACCC) took legal action against 15 global airlines for collusion on charges and surcharges for air freight services for consumer goods, provided between 2002 and 2006.
Thirteen airlines reached an agreement with the ACCC, while Air New Zealand and Garuda went to trial that ended in May 2013.
The sanction imposed on Garuda concerns his actions between 2003 and 2006.
ACCC Chairman Rod Sims said: âWe are pleased that this long-standing case against 15 global airlines, including Garuda, Air New Zealand, Qantas, Singapore Airlines and Cathay Pacific, has resulted in total penalties of Court ordered A $ 132.5 million. “
âBusinesses of all sizes should take note of ACCC’s determination to fight this great international cartel. Significant sanctions, like the $ 19 million Australian sanction imposed on Garuda, send a strong warning that anti-competitive behavior has serious consequences. “
He adds, âWe will also continue to closely monitor any signs of anti-competitive behavior in the airline industry, particularly following the travel disruption due to Covid-19, given our oversight role in the industry. national airline. “