Cathay to pay Australia millions to settle price-fixing dispute
HONG KONG (AFP) - Hong Kong's flagship carrier Cathay Pacific Airways said on Thursday it will pay A$11.75 million to an Australian trade watchdog to settle an air cargo price-fixing case.
The Australian Competition and Consumer Commission (ACCC) in 2009 took legal action against the airline for allegedly entering price-fixing agreements with over 70 international air cargo carriers from 2000 to 2006.
The ACCC on its website said the purposes of the agreements were to fix prices of fuel surcharge, security surcharge and rates that were applied to air cargo carried by the airline.
"Under the settlement... Cathay Pacific has pleaded guilty to certain violations of the Australian Trade Practices Act," the airline said in a filing to the Hong Kong stock exchange.