S African Airways and SIA fined for price-fixing
South African Airways (SAA) and Singapore Airlines (SIA) have been fined about US$2.5 million and US$3.3 million, respectively, for fixing prices on flights between Johannesburg and Hong Kong, South Africa’s Competition Commission said yesterday.
South African Airways (SAA) and Singapore Airlines (SIA) have been fined about US$2.5 million and US$3.3 million, respectively, for fixing prices on flights between Johannesburg and Hong Kong, South Africa’s Competition Commission said yesterday.
The commission’s investigation into the case, which also involved Cathay Pacific and Malaysia Airlines, started in January 2008, China’s Xinhua news agency reported.
Molebogeng Taunyane, external communication co-ordinator at the commission, said although Cathay Pacific had applied for leniency, Malaysia Airlines had not yet given its cooperation on the matter, which might still be referred to the Competition Tribunal.
Yesterday, the commission said the fine levied against SAA also settled two other cases against the airline. These related to collusion on international air-cargo surcharges and domestic route prices, and to pricing strategies during the 2010 Soccer World Cup.
The commission had referred the case of collusion and price- fixing in the air cargo market, involving SAA and seven foreign airlines, to the Competition Tribunal in 2010.
These airlines faced allegations of fixing the price of fuel surcharges and cargo rates on freight flown into and out of South Africa between 2000 and 2006.
“SAA has offered its full cooperation to the commission in its ongoing investigations and prosecution of both matters before the tribunal.
“Similarly, Singapore Airlines undertook to do the same with regard to the Far East matter,” the commission said.
- Bernama


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