Aviation: more woes as NZ prosecutes airlines
The New Zealand Commerce Commission, which deals with monopolistic practices, has brought criminal proceedings against three airlines alleging price-fixing in the air cargo market.
In October 2007, when proceedings were in place against a number of international carriers in the US, the EU and other jurisdictions, New Zealand served a notice on airlines requiring documents and other materials to assist in assessing the probability that some airlines had fixed the price of cargo flights into and out of NZ.
The Commission says that Singapore Airlines and its subsidiary Singapore Air Cargo Pte Ltd, Cathay Pacific and Aerolinas Argentinas have not complied with those notices and therefore criminal charges have been filed.
The Commission believes that the airlines have struck deals on freight charges and - equally disturbing - fuel surcharges.
In a statement, Singapore Airlines says that both SIA and its subsidiary have responded fully to all inquires insofar as they related to NZ. But it has declined to respond to those aspects of the inquiry that relate to matters outside NZ, saying that to demand such is outside the jurisdiction of the Commission.
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