Australia alleges Garuda fixed air cargo prices

Singapore
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Australia's competition watchdog is taking Garuda Indonesia to court for alleged price fixing on air cargo, making the Indonesian national carrier the 10th airline to face legal action.

The Australian Competition and Consumer Commission (ACCC), in a case before the country's federal court, says that Garuda "entered into arrangements or understandings with other international air cargo carriers" between 2001 and 2006.

"The purpose was to fix the price of a fuel surcharge and a security surcharge that was applied to air cargo carried by Garuda," it says.

The ACCC has taken similar legal action against nine other carriers and won cases against six. The other cases are ongoing.

The airlines that have lost in court are Air France, British Airways, Cargolux, KLM, Qantas Airways and Martinair. Altogether, these carriers have paid A$41 million ($34 million) in penalties. Those still facing legal action are Cathay Pacific Airways, Emirates and Singapore Airlines Cargo,