Flight Centre to appeal against price fixing decision
Flight Centre is going to appeal against a court ruling which found the company guilty of price fixing.
Last week the Australian Competition and Consumer Commission (ACCC) won a case in the Brisbane Federal Court against the travel firm, finding it guilty of six charges of attempting to induce competitors to enter into price-fixing arrangements.
The ACCC claimed that on six occasions between 2005 and 2009, Flight Centre tried to persuade Singapore Airlines, Malaysian Airlines and Emirates to agree to stop directly offering and booking their international airfares – including over the internet – at prices less than what Flight Centre offered.
The company had a ‘price beat policy’ stating if a customer found a cheaper airfare, the travel agent will beat it by $1.
But it had problems when airlines sold tickets directly to the public at low prices.
In a statement to the Australian Securities Exchange, Flight Centre says it was disappointed with the judgement and would seek an appeal.
A penalty hearing is set for December 19.
By Diane Evans and Ian Jarrett
Diane
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