New Zealand authorities probe Cathay Pacific and Singapore Airlines

New Zealand’s Commerce Commission is looking into allegations that Cathay Pacific and Singapore Airlines may have engaged in price-fixing, specifically in relation to their cargo business. According to media reports, the commission has already determined that the carriers likely engaged in illegal behaviour and has filed charges with an Auckland court. The problems date back to last October, when the two airlines are said to have failed to provide information and key documents previously requested from both companies.

There is a realistic chance that both Cathay Pacific and Singapore Airlines Cargo will be found guilty and if this is the case, then they may collectively face a fine of around $300,000. Another international carrier, Aerolineas Argentinas, is also currently under investigation. For its part, Cathay strongly refuted allegations that it had refused to cooperate with the commission when requested to do so. Not surprisingly, Cathay will now prepare to present its own case and has indicated that it would strongly contest all of the allegations concerning price fixing and its alleged lack of cooperation with authorities.

Interestingly, while Cathay and Singapore Airlines are under investigation in New Zealand, this country’s own flag carrier, Air New Zealand, is the subject of a probe in Europe, as well as in Australia, which is also related to concerns about the possible existence of an air cargo cartel that it may have been involved in

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