New Delhi : The Competition Commission on Wednesday imposed a total fine of more than Rs 54 crore on Jet Airways, InterGlobe Aviation and SpiceJet for unfair business practices with respect to fixing fuel surcharge on cargo transport.
Besides, the watchdog has directed the three airlines to “cease and desist” from anti-competitive practices. A fine of Rs 39.81 crore has been imposed on Jet Airways while the penalties on InterGlobe Aviation and SpiceJet are Rs 9.45 crore and Rs 5.10 crore, respectively, an official release said. InterGlobe Aviation is the parent of no-frills IndiGo.
CCI said penalties have been imposed on the airlines for “concerted action in fixing and revising Fuel Surcharge (FSC) – a component of freight charges”.
The order has come on a complaint filed by Express Industry Council of India against the airlines alleging cartelisation. The airlines acted in a concerted manner in fixing and revising the FSC rates in violation of competition norms that prohibit anti-competitive agreements, including cartels.
