Price fixing cases - AbsoluteAstronomy.com

Air Travel

On 1 August 2007 it was reported that British Airways

British Airways

British Airways is the flag carrier airline of the United Kingdom, based in Waterside, near its main hub at London Heathrow Airport. British Airways is the largest airline in the UK based on fleet size, international flights and international destinations...

has been fined £121.5 million for price-fixing. The fine was imposed by the Office of Fair Trading

Office of Fair Trading

The Office of Fair Trading is a not-for-profit and non-ministerial government department of the United Kingdom, established by the Fair Trading Act 1973, which enforces both consumer protection and competition law, acting as the UK's economic regulator...

(OFT) after BA admitted to the price-fixing of fuel surcharges on long haul flights. The allegation first came to light in 2006 when Virgin Atlantic

Virgin Atlantic Airways

Virgin Atlantic Airways Limited is a British airline owned by Sir Richard Branson's Virgin Group and Singapore Airlines...

reported the events to the authorities after it found staff members from BA and Virgin Atlantic were colluding. Virgin Atlantic have since been granted immunity by both the OFT and the United States Department of Justice

United States Department of Justice

The United States Department of Justice , is the United States federal executive department responsible for the enforcement of the law and administration of justice, equivalent to the justice or interior ministries of other countries.The Department is led by the Attorney General, who is nominated...

who have been investigating the allegations since June 2006. The US DOJ later announced that it would fine British Airways $300 million (£148 million) for price fixing.

The allegations are thought to be linked to the resignation of commercial director Martin George and communications chief Iain Burns. Although BA said fuel surcharges were "a legitimate way of recovering costs", in May 2007 it put aside £350 million for legal fees and fines.

Other

Computer Components: DRAM price fixing
DRAM price fixing
In 2002, the United States Department of Justice, under the Sherman Antitrust Act, began a probe into the activities of dynamic random access memory manufacturers...
Agriculture: Lysine price-fixing conspiracy
Lysine price-fixing conspiracy
The lysine price-fixing conspiracy was an organized effort during the mid-1990s to raise the price of the animal feed additive lysine. It involved five companies that had commercialized high-tech fermentation technologies, including American company Archer Daniels Midland , Japanese companies...
Wine, beer and liquor distribution Wine and Spirits Fair Dealing Act
Wine and Spirits Fair Dealing Act
The Wine and Spirits Fair Dealing Act, also known as the Wirtz Law was an infamous Illinois state law passed in 1999 that prevented distillers and wineries from changing distributors without "just cause"...

Beer

On 18 April 2007 The European commission

European Commission

The European Commission is the executive body of the European Union. The body is responsible for proposing legislation, implementing decisions, upholding the Union's treaties and the general day-to-day running of the Union....

imposed a fined Heineken

Heineken

Heineken is a Dutch beer which has been brewed by Heineken International since 1873. It is available in a 4.6% alcohol variety in countries such as Ireland. It is the flagship product of the Heineken company and is made of purified water, malted barley, hops, and yeast. In 1886 H...

€219.3m , Grolsch €31.65m and Bavaria €22.85m for operating a price fixing cartel

Cartel

A cartel is a formal agreement among competing firms. It is a formal organization of producers and manufacturers that agree to fix prices, marketing, and production. Cartels usually occur in an oligopolistic industry, where there is a small number of sellers and usually involve homogeneous products...

in Holland, totalling €273.7m. InBev

InBev

InBev is a subsidiary of Anheuser-Busch InBev. The company existed independently for several years - since the merger between Interbrew and AmBev and until the acquisition of Anheuser-Busch. InBev has operations in over 30 countries and sales in over 130 countries...

, (formerly Interbrew

Interbrew

Interbrew was a large Belgium-based brewing company which owned many internationally known beers, as well as some smaller local beers. In 2004 Interbrew merged with Brazilian brewer AmBev to form InBev, which is the now largest brewer in the world by volume, with a 13% global market share now...

), escaped without a penalty because it provided "decisive information" about the cartel which operated between 1996 and 1999 and others in the EU market. The brewers controlled 95% of the Dutch market, with Heineken

Heineken

claiming a half and the three others 15% each.

Neelie Kroes

Neelie Kroes

Neelie Kroes is a Dutch politician of the People's Party for Freedom and Democracy . She served as a Member of the House of Representatives from 3 August 1971 until 28 December 1977 when she became State Secretary for Transport, Public Works and Water Management from 28 December 1977 until 11...

said she was "very disappointed" that the collusion took place at the very highest (boardroom) level. She added, Heineken

Heineken

, Grolsch, Bavaria

Bavaria

Bavaria, formally the Free State of Bavaria is a state of Germany, located in the southeast of Germany. With an area of , it is the largest state by area, forming almost 20% of the total land area of Germany...

and InBev

InBev

tried to cover their tracks by using code names and abbreviations for secret meetings to carve up the market for beer sold to supermarkets, hotels, restaurants and cafes. The price fixing

Price fixing

Price fixing is an agreement between participants on the same side in a market to buy or sell a product, service, or commodity only at a fixed price, or maintain the market conditions such that the price is maintained at a given level by controlling supply and demand...

extended to cheaper own-brand

Store brand

Store brands are a line of products sold by a retailer under a single marketing identity. They bear a similarity to the concept of House brands, Private label brands in the United States, own brands in the UK, and home brands in Australia and generic brands...

labels and rebates for bars

Bar (establishment)

A bar is a business establishment that serves alcoholic drinks — beer, wine, liquor, and cocktails — for consumption on the premises.Bars provide stools or chairs that are placed at tables or counters for their patrons. Some bars have entertainment on a stage, such as a live band, comedians, go-go...

.

In December 2001 Interbrew, Danone (former owner of Kronenbourg), and two other smaller brewers were fined €91m for operating a cartel in Belgium

Belgium

Belgium , officially the Kingdom of Belgium, is a federal state in Western Europe. It is a founding member of the European Union and hosts the EU's headquarters, and those of several other major international organisations such as NATO.Belgium is also a member of, or affiliated to, many...

while four Luxembourg companies were fined €448,000 the same month.

In 2004 Heineken

Heineken

and Kronenbourg

Kronenbourg

Kronenbourg Brewery is a brewery founded in 1664 by Geronimus Hatt in Strasbourg, France as the Hatt Brewery. The name comes from the area where the brewery relocated in 1850. The company is owned by the Carlsberg Group...

, the two dominant brewers in France, were fined €2.5m - with the penalty reduced for co-operating. A similar inquiry into an alleged Italian cartel was closed without proceedings while the British and German beer markets were specifically excluded.

Switchgear

In January 2007 Siemens

Siemens

Siemens may refer toSiemens, a German family name carried by generations of telecommunications industrialists, including:* Werner von Siemens , inventor, founder of Siemens AG...

fined €396 million over its role in a collusion

Collusion

Collusion is an agreement between two or more persons, sometimes illegal and therefore secretive, to limit open competition by deceiving, misleading, or defrauding others of their legal rights, or to obtain an objective forbidden by law typically by defrauding or gaining an unfair advantage...

scandal. The European Commission

European Commission

has handed out a massive €750 million in fines to Siemens

Siemens

Siemens may refer toSiemens, a German family name carried by generations of telecommunications industrialists, including:* Werner von Siemens , inventor, founder of Siemens AG...

, Alstrom, Areva

Areva

AREVA is a French public multinational industrial conglomerate headquartered in the Tour Areva in Courbevoie, Paris. AREVA is mainly known for nuclear power; it also has interests in other energy projects. It was created on 3 September 2001, by the merger of Framatome , Cogema and...

, Schneider

Schneider

Schneider is a surname, common in Germany, it may also refer to:Companies and organizations* G. Schneider & Sohn, Bavarian brewery company* Schneider Rundfunkwerke AG, former owner of the Dual brand record players...

and Japanese firms Fuji

Fuji

-People:* Mr. Fuji, ring name of wrestling and manager Harry Fujiwara* Keiko Fuji, a Japanese singer of the 1960s and 1970s, and mother of Hikaru Utada* Sumiko Fuji, a Japanese actressFictional characters* Fuji , a character in the Stormwatch series...

, Hitachi

Hitachi, Ltd.

is a Japanese multinational conglomerate headquartered in Marunouchi 1-chome, Chiyoda, Tokyo, Japan. The company is the parent of the Hitachi Group as part of the larger DKB Group companies...

, Mitsubishi Electric

Mitsubishi Electric

is a multinational electronics and information technology company headquartered in Tokyo, Japan. It is one of the core companies of the Mitsubishi Group....

, Toshiba

Toshiba

is a multinational electronics and electrical equipment corporation headquartered in Tokyo, Japan. It is a diversified manufacturer and marketer of electrical products, spanning information & communications equipment and systems, Internet-based solutions and services, electronic components and...

and Japan AE Systems. Switzerland's ABB Group was a whistleblower

Whistleblower

A whistleblower is a person who tells the public or someone in authority about alleged dishonest or illegal activities occurring in a government department, a public or private organization, or a company...

and escaped without any fine from the Commission. Regulators found that the companies rigged bids for contracts

Bid rigging

Bid rigging is a form of fraud in which a commercial contract is promised to one party even though for the sake of appearance several other parties also present a bid. This form of collusion is illegal in most countries...

and fixed prices

Price fixing

in the market for gas-insulated switchgear

Switchgear

The term switchgear, used in association with the electric power system, or grid, refers to the combination of electrical disconnects, fuses and/or circuit breakers used to isolate electrical equipment. Switchgear is used both to de-energize equipment to allow work to be done and to clear faults...

- equipment is used to control the flow of energy in electricity grids. Its fine was the biggest of the companies involved because it was a ringleader, the Commission said. About 30 business premises and private homes were searched as part of the investigation.

The cartel swapped information on offers from customers and operated a quota system for the division of work. Bids were rigged so that tenders went to whichever firm was due work under the quota system. "Code names were used for both companies and individuals. They relied on anonymous email addresses for communication and used encryption

Encryption

In cryptography, encryption is the process of transforming information using an algorithm to make it unreadable to anyone except those possessing special knowledge, usually referred to as a key. The result of the process is encrypted information...

for sending messages,” said the Commission.

Dairy Products

On 7 December 2007, Sainsbury's, Asda

Asda

Asda Stores Ltd is a British supermarket chain which retails food, clothing, general merchandise, toys and financial services. It also has a mobile telephone network, , Asda Mobile...

, Safeway

Safeway (UK)

Safeway was a chain of supermarkets and convenience stores in the United Kingdom. It started as a subsidiary of the American Safeway Inc., before being sold off in 1987....

, Dairy Crest

Dairy Crest

Dairy Crest Group plc is a major dairy products company in the United Kingdom. Its brands include Cathedral City Cheddar cheese, Utterly Butterly, Vitalite, Clover, St Ivel and Frijj. The company delivers milk to around 1.1 million households via their milkmen...

, Robert Wiseman Dairies

Robert Wiseman Dairies

Robert Wiseman Dairies plc is a large Scottish milk supplier and distributor. They are now one of the largest dairy businesses in Great Britain with seven major dairies . Robert Wiseman Dairies also distribute cream and orange juice...

and The Cheese Company have all admitted that they had secretly swapped information with each other to make shoppers pay more for milk and cheese in a £270m price-fixing conspiracy. The cartel agreed in principle with the Office of Fair Trading

Office of Fair Trading

that they conspired against the interests of consumers. In their defense, the corporations have publicly said they had been under pressure to help farmers hit by foot-and-mouth, however, the OFT said "I think it is reasonable to say we don't doubt the purpose initially was to pass money back to farmers but, in general, there is no evidence that farm gate price increased as a result of the initiative. We don't know what happened to the money."

All the major UK store chains, with the exception of Waitrose

Waitrose

Waitrose Limited is an upmarket chain of supermarkets in the United Kingdom and is the food division of the British retailer and worker co-operative the John Lewis Partnership. Its head office is in Bracknell, Berkshire, England...

and Marks & Spencer

Marks & Spencer

Marks and Spencer plc is a British retailer headquartered in the City of Westminster, London, with over 700 stores in the United Kingdom and over 300 stores spread across more than 40 countries. It specialises in the selling of clothing and luxury food products...

, are embroiled in the OFT inquiry into milk

Milk

Milk is a white liquid produced by the mammary glands of mammals. It is the primary source of nutrition for young mammals before they are able to digest other types of food. Early-lactation milk contains colostrum, which carries the mother's antibodies to the baby and can reduce the risk of many...

prices in 2002 and 2003 which has been ongoing since the beginning of 2004. It was accepted by Asda

Asda

Asda Stores Ltd is a British supermarket chain which retails food, clothing, general merchandise, toys and financial services. It also has a mobile telephone network, , Asda Mobile...

, Sainsbury and Safeway that stores increased the price of milk as a result of collusion. Dairy Crest

Dairy Crest

and Wiseman

Robert Wiseman Dairies

allegedly acted as middle men, passing on sensitive information about prices to their supposed rivals. Britain's biggest store chain Tesco

Tesco

Tesco plc is a global grocery and general merchandise retailer headquartered in Cheshunt, United Kingdom. It is the third-largest retailer in the world measured by revenues and the second-largest measured by profits...

, and Morrison

Morrison

Morrison may refer to:* Morrison , people with the surname Morrison* USS Morrison , a Fletcher-class destroyer sunk in the Pacific in 1945* Morrison, a 19th-century American merchant ship of the Morrison Incident...

, are accused of collusion too, but vigorously deny they took part. The allegations against Tesco involve cheese

Cheese

Cheese is a generic term for a diverse group of milk-based food products. Cheese is produced throughout the world in wide-ranging flavors, textures, and forms....

as well as milk

Milk

and butter

Butter

Butter is a dairy product made by churning fresh or fermented cream or milk. It is generally used as a spread and a condiment, as well as in cooking applications, such as baking, sauce making, and pan frying...

.

If the OFT proves its case, the retailers could theoretically face fines of up to 10 per cent of their worldwide turnover, which in Tesco's case would amount to £4.3bn. The Office of Fair Trading told Sainsbury's, Asda, Safeway, Dairy Crest, Wiseman and The Cheese Company they faced maximum fines of £116m, though the final figure may be as low as £80m as a result of their co-operation. Sainsbury's told the London Stock Exchange

London Stock Exchange

The London Stock Exchange is a stock exchange located in the City of London within the United Kingdom. , the Exchange had a market capitalisation of US$3.7495 trillion, making it the fourth-largest stock exchange in the world by this measurement...

that its fine was £26m. The fine for Safeway

Safeway (UK)

Safeway was a chain of supermarkets and convenience stores in the United Kingdom. It started as a subsidiary of the American Safeway Inc., before being sold off in 1987....

is thought to be between £8m and £10m; £9m for Dairy Crest

Dairy Crest

and £6m for Robert Wiseman

Robert Wiseman Dairies

. It is unclear who blew the whistle on the price-fixing but Arla

Arla

Arla can refer to*Arla Aabba *Arla *Arla Foods*Arla, Greece*Association of Residential Letting Agents *Arla Plast...

, the dairy processor, will escape a fine after fully co-operating with authorities. Consumer advocate Which?

Which?

Which? is a product-testing and consumer campaigning charity with a magazine, website and various other services run by Which? Ltd ....

Ltd complained that, despite overpaying £270m, consumers

Consumer

Consumer is a broad label for any individuals or households that use goods generated within the economy. The concept of a consumer occurs in different contexts, so that the usage and significance of the term may vary.-Economics and marketing:...

would not receive any refunds.

Construction

In April 2008, The Office of Fair Trading

Office of Fair Trading

named 112 companies that it says colluded to inflate the cost of a wide range of contracts worth billions of pounds, including tenders for schools, universities and hospitals.

The list includes several publicly listed companies, including Balfour Beatty

Balfour Beatty

Balfour Beatty plc is a British construction, engineering, military housing, rail and investment services company. It is one of the largest construction companies in the UK, and the 15th largest in the world...

, Kier Group

Kier Group

Kier Group plc is a construction, services and property group active in building and civil engineering, support services, public and private housebuilding, land development and the Private Finance Initiative...

and Carillion, with 80 of the firms have already admitted participating in some form of bid-rigging, or have applied for leniency in return for assisting the OFT. The allegations centre around "cover pricing", in which firms secretly agreed the prices they would submit during a tender process. A firm that did not want to win the contract would submit a price that was much too high. In some cases, the eventual successful bidder would then reward them with a secret payment. This bid rigging often involved false invoices. The OFT declined to comment on the value of the fraud.

Financial

In April 2003, The London office of ABN Amro

ABN AMRO

ABN AMRO Bank N.V. is a Dutch state-owned bank with headquarters in Amsterdam. It was re-established, in its current form, in 2009 following the acquisition and break up of ABN AMRO Group by a banking consortium consisting of Royal Bank of Scotland Group, Santander and Fortis...

was fined £900,000 for helping a US client, Oechsle International Advisers, to rig share prices. The fine was the FSA

Financial Services Authority

The Financial Services Authority is a quasi-judicial body responsible for the regulation of the financial services industry in the United Kingdom. Its board is appointed by the Treasury and the organisation is structured as a company limited by guarantee and owned by the UK government. Its main...

's fifth biggest, and is the largest involving market abuse on the London Stock Exchange

London Stock Exchange

.

ABN's then joint head of the UK equity trading desk, Michael Ackers, has been fined £70,000 for "market misconduct." The FSA decided that traders in ABN Amro Equities (UK), known as AAE, "accepted improper instructions whose apparent purpose was to push the closing market price of certain shares to a higher level than would otherwise have been the case". This happened on three separate occasions between April and October 1998 in respect of shares in Carlton Communications, British Biotech, Volkswagen and Metro. Angelo Iannone, the head of ABN's international sales trading desk in New York, had had a long-standing relationship with Oechsle and one of its fund managers, Andrew Parlin. They agreed to increase the price of the shares in question at the end of certain days' trading, to make the prices look better in clients' portfolios.

Airlines

The Australian Competition and Consumer Commission

Australian Competition and Consumer Commission

The Australian Competition and Consumer Commission is an independent authority of the Australia government. It was established in 1995 with the amalgamation of the Australian Trade Practices Commission and the Prices Surveillance Authority to administer the Trade Practices Act 1974...

(ACCC) has taken several airlines to the Federal Court of Australia

Federal Court of Australia

The Federal Court of Australia is an Australian superior court of record which has jurisdiction to deal with most civil disputes governed by federal law , along with some summary criminal matters. Cases are heard at first instance by single Judges...

seeking penalties for alleged price fixing contraventions. As of 2011, the ACCC's activities are:

Qantas Airways Ltd

The ACCC

Australian Competition and Consumer Commission

instituted proceedings against Qantas

Qantas

Qantas Airways Limited is the flag carrier of Australia. The name was originally "QANTAS", an initialism for "Queensland and Northern Territory Aerial Services". Nicknamed "The Flying Kangaroo", the airline is based in Sydney, with its main hub at Sydney Airport...

seeking penalties for alleged price fixing contraventions relating to fuel surcharges

Surcharge

A surcharge may mean:*an extra fee added onto another fee or charge** Fuel surcharge, sky freight charges which represents additions due to jet fuel prices.** Bunker adjustment factor, sea freight charges which represents additions due to oil prices....

applied to international carriage of air cargo between 2002 and early 2006. The conduct concerned collusion between competitors over fuel surcharges which the ACCC alleged and Qantas admitted had the purpose and likely effect of fixing or maintaining a component of the price for air cargo services. The Federal Court

Federal Court of Australia

in Sydney

Sydney

Sydney is the most populous city in Australia and the state capital of New South Wales. Sydney is located on Australia's south-east coast of the Tasman Sea. As of June 2010, the greater metropolitan area had an approximate population of 4.6 million people...

ordered Qantas Airways Limited to pay $20 million in pecuniary penalties for breaching the price fixing provisions of the Trade Practices Act 1974

Trade Practices Act 1974

The Competition and Consumer Act 2010 is an act of the Parliament of Australia. On 1 January 2011 the Trade Practices Act 1974 was renamed the Competition and Consumer Act 2010. The act provides for protection of consumers and prevents some restrictive trade practices of companies. It is the key...

British Airways PLC

The ACCC instituted proceedings against British Airways PLC (BA) seeking penalties for alleged price fixing contraventions relating to fuel surcharges applied to international carriage of air cargo between 2002 and early 2006. The Federal Court in Sydney ordered British Airways PLC to pay $5 million in pecuniary penalties for breaching the price fixing provisions of the Trade Practices Act 1974. The Australian Competition and Consumer Commission instituted proceedings alleging British Airways reached an understanding with Lufthansa Cargo

Lufthansa Cargo

Lufthansa Cargo AG is a cargo airline from Germany, operating worldwide air freight and logistics services on behalf of Lufthansa, of which it is a wholly owned subsidiary. The company is headquartered in Building 451 of the Frankfurt Airport area in Frankfurt, the major hub of Lufthansa...

Aktiengesellschaft (Lufthansa) in relation to the imposition of fuel surcharges on some of its international air cargo services between 2002 and early 2006.

Singapore Airlines Cargo Pte Ltd

The ACCC alleged that Singapore Airlines Cargo Pte Ltd

Singapore Airlines Cargo

Singapore Airlines Cargo is a cargo airline based in Singapore. It is a subsidiary of Singapore Airlines and was incorporated in 2001. SIA Cargo operates 11 freighters and manages the bellyhold of all Singapore Airlines aircraft...

, between 2001 and 2005, entered into arrangements or understandings with other international air cargo carriers that had the purpose or effect of fixing the price of a fuel surcharge and a security surcharge that was applied to air cargo carried by Singapore Airlines Cargo Pte Ltd and other airlines including to and from Australia

Australia

Australia , officially the Commonwealth of Australia, is a country in the Southern Hemisphere comprising the mainland of the Australian continent, the island of Tasmania, and numerous smaller islands in the Indian and Pacific Oceans. It is the world's sixth-largest country by total area...

Société Air France (Air France)

The ACCC instituted proceedings against Air France seeking penalties for alleged price fixing between early 2003 and 2006. The alleged contraventions relate to fuel surcharges applied to international carriage of air cargo during that period. The Federal Court in Sydney ordered pecuniary penalties ($6 million in total with KLM) for breaching the price fixing provisions of the Trade Practices Act 1974. The ACCC alleged the airline reached understandings with other international airlines in relation to the imposition of fuel surcharges applied to international carriage of air cargo during that period between early 2003 and 2006. Air France admitted to making and giving effect to illegal price fixing understandings with Lufthansa, repeatedly exchanging assurances with Lufthansa in the implementation of fuel surcharge increases for international carriage of air cargo across their global networks.

Koninklijke Luchtvaart Maatschappij NV (KLM)

The ACCC instituted proceedings against KLM seeking penalties for alleged price fixing between early 2003 and 2006. The alleged contraventions relate to fuel surcharges applied to international carriage of air cargo during that period. The Federal Court in Sydney ordered pecuniary penalties ($6 million in total with Air France) for breaching the price fixing provisions of the Trade Practices Act 1974. The ACCC alleged the airline reached understandings with other international airlines in relation to the imposition of fuel surcharges applied to international carriage of air cargo during that period between early 2003 and 2006. KLM admitted to making and giving effect to illegal price fixing understandings with Lufthansa, repeatedly exchanging assurances with Lufthansa in the implementation of fuel surcharge increases for international carriage of air cargo across their global networks.

Martinair Holland NV (Martinair)

The ACCC instituted proceedings against Martinair seeking penalties for alleged price fixing between early 2003 and 2006. The alleged contraventions relate to fuel surcharges applied to international carriage of air cargo during that period. The Federal Court in Sydney ordered pecuniary penalties of $5 million for breaching the price fixing provisions of the Trade Practices Act 1974. The ACCC alleged the airline reached understandings with other international airlines in relation to the imposition of fuel surcharges applied to international carriage of air cargo during that period between early 2003 and 2006. Martinair admitted that by no later than early 2003, it had arrived and gave effect to illegal price fixing understandings with KLM and Cargolux

Cargolux

Cargolux Airlines International S.A., trading as Cargolux, is a cargo airline with its head office on the grounds of Luxembourg – Findel Airport in Sandweiler, Luxembourg. It is one of the largest scheduled all-cargo airlines in Europe with a global network...

that they would have discussions and exchange and confirm information with each other in relation to the application of fuel surcharges on cargo carried internationally by air across their respective global networks.

Cargolux International Airlines S.A. (Cargolux)

The ACCC instituted proceedings against Cargolux

Cargolux

seeking penalties for alleged price fixing between early 2003 and 2006. The alleged contraventions relate to fuel surcharges applied to international carriage of air cargo during that period. The Federal Court in Sydney ordered pecuniary penalties of $5 million for breaching the price fixing provisions of the Trade Practices Act 1974. The ACCC alleged the airline reached understandings with other international airlines in relation to the imposition of fuel surcharges applied to international carriage of air cargo during that period between early 2003 and 2006. Cargolux admitted to making and giving effect to illegal price fixing understandings with each of Lufthansa, Air France and KLM that each of them would impose a fuel surcharge on cargo carried internationally by air across their networks, (except where local conditions in a particular port or in a particular geographic area prevented the imposition, or full imposition, of the fuel surcharge).

Cathay Pacific Airways Ltd

The ACCC instituted proceedings in the Federal Court against Cathay Pacific. The ACCC alleged that between 2000 and 2006, Cathay Pacific Airways Ltd entered into over 70 arrangements or understandings with other international air cargo carriers that had the purpose or effect of fixing the price of a fuel surcharge, a security surcharge and rates that were applied to air cargo carried by Cathay Pacific Airways Ltd and other airlines. The ACCC alleged that the arrangements or understandings were reached in countries including Singapore

Singapore

Singapore , officially the Republic of Singapore, is a Southeast Asian city-state off the southern tip of the Malay Peninsula, north of the equator. An island country made up of 63 islands, it is separated from Malaysia by the Straits of Johor to its north and from Indonesia's Riau Islands by the...

, Indonesia

Indonesia

Indonesia , officially the Republic of Indonesia , is a country in Southeast Asia and Oceania. Indonesia is an archipelago comprising approximately 13,000 islands. It has 33 provinces with over 238 million people, and is the world's fourth most populous country. Indonesia is a republic, with an...

, Hong Kong

Hong Kong

Hong Kong is one of two Special Administrative Regions of the People's Republic of China , the other being Macau. A city-state situated on China's south coast and enclosed by the Pearl River Delta and South China Sea, it is renowned for its expansive skyline and deep natural harbour...

, United Arab Emirates

United Arab Emirates

The United Arab Emirates, abbreviated as the UAE, or shortened to "the Emirates", is a state situated in the southeast of the Arabian Peninsula in Western Asia on the Persian Gulf, bordering Oman, and Saudi Arabia, and sharing sea borders with Iraq, Kuwait, Bahrain, Qatar, and Iran.The UAE is a...

, India

India

India , officially the Republic of India , is a country in South Asia. It is the seventh-largest country by geographical area, the second-most populous country with over 1.2 billion people, and the most populous democracy in the world...

, Japan

Japan

Japan is an island nation in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south...

and Italy

Italy

Italy , officially the Italian Republic languages]] under the European Charter for Regional or Minority Languages. In each of these, Italy's official name is as follows:;;;;;;;;), is a unitary parliamentary republic in South-Central Europe. To the north it borders France, Switzerland, Austria and...

. The ACCC sort declarations, injunctive relief, pecuniary penalties, and costs.

Emirates

The ACCC instituted proceedings in the Federal Court against Emirates. The ACCC alleged that between 2002 and 2006, Emirates entered into arrangements or understandings with other international air cargo carriers that had the purpose and effect of fixing the price of certain fuel surcharges, security surcharges and rates that were applied to air cargo carried by Emirates and other airlines. The ACCC alleged that the arrangements or understandings were reached in countries including Singapore, Indonesia, Hong Kong, United Arab Emirates and India. The ACCC sort declarations, injunctive relief, pecuniary penalties, and costs.

PT Garuda Indonesia Ltd

The ACCC instituted proceedings in the Federal Court against PT Garuda Indonesia Ltd

Garuda Indonesia

PT Garuda Indonesia Tbk , publicly known as Garuda Indonesia, is the flag carrier of Indonesia. It is named after the mystical giant bird Garuda of Hinduism and Buddhist mythology. It is headquartered at Soekarno-Hatta International Airport in Tangerang, near Jakarta, the capital city of Indonesia...

. The ACCC alleged that between 2001 and 2006, PT Garuda Indonesia Ltd entered into arrangements or understandings with other international air cargo carriers that had the purpose or effect of fixing the price of a fuel surcharge and a security surcharge that were applied to air cargo carried by PT Garuda Indonesia Ltd and other airlines. The ACCC alleged that the arrangements or understandings were reached in Indonesia and Hong Kong. The ACCC sort declarations, injunctive relief, pecuniary penalties, and costs.

Thai Airways International Public Company Limited

The ACCC alleged that between 2001 and 2006, Thai Airways International

Thai Airways International

Thai Airways International Public Company Limited is the national flag carrier and largest airline of Thailand. Formed in 1988, the airline's headquarters are located in Chatuchak District, Bangkok, and operates out of Suvarnabhumi Airport. Thai is a founding member of the Star Alliance. Thai is a...

entered into arrangements or understandings with other international air cargo carriers in specific countries that had the purpose or effect of fixing the price of fuel surcharges and security surcharges that were applied to air cargo carried by Thai Airways International Public Company Limited and other airlines. The ACCC alleged that the arrangements or understandings were reached in Singapore, Indonesia and Hong Kong – plus Thailand in the case of a security surcharge called a crisis surcharge – for surcharges applied to cargo originating in those countries. The ACCC sort declarations, injunctive relief, pecuniary penalties, and costs.

Korean Air Lines Co. Ltd

The ACCC instituted proceedings in the Federal Court against Korean Air

Korean Air

Korean Air Lines Co., Ltd. , operating as Korean Air, is both the flag carrier and the largest airline of South Korea, with global headquarters located in Seoul, South Korea. Korean Air's international passenger division and related subsidiary cargo division together serve 130 cities in 45...

. The ACCC alleged that between 2001 and 2006, Korean Air Lines Co. Ltd entered into arrangements or understandings with other international air cargo carriers that had the purpose or effect of fixing the price of a fuel surcharge, a security surcharge and a customs fee that were applied to air cargo carried by Korean Air Lines Co. Ltd and other airlines. The ACCC alleged that the arrangements or understandings were reached in Korea, Indonesia and Hong Kong for surcharges applied to cargo originating in those countries and in Indonesia for a customs fee applied to cargo originating in that country. The ACCC sort declarations, injunctive relief, pecuniary penalties, and costs.

Malaysian Airline System Berhad

The ACCC instituted proceedings in the Federal Court against Malaysian Airline System Berhad and its wholly owned cargo subsidiary Malaysia Airlines Cargo Sdn Bhd. The ACCC alleged that between 2001 and 2006, Malaysian Airline System Berhad and Malaysia Airlines Cargo Sdn Bhd entered into arrangements or understandings with other international air cargo carriers that had the purpose or effect of fixing the price of a fuel surcharge and a security surcharge that were applied to air cargo carried by them and other airlines. The ACCC alleged that arrangements or understandings were reached in Indonesia and Hong Kong for fuel surcharges applied to cargo originating in those countries. The ACCC also alleged arrangements or understandings were reached in Indonesia, Hong Kong and Singapore for a security surcharge applied to cargo originating in those countries. The ACCC sort declarations, injunctive relief, pecuniary penalties, and costs.

Japan Airlines International Co., Ltd

The ACCC instituted proceedings in the Federal Court today against Japan Airlines International Co Ltd

Japan Airlines

is an airline headquartered in Shinagawa, Tokyo, Japan. It is the flag carrier of Japan and its main hubs are Tokyo's Narita International Airport and Tokyo International Airport , as well as Nagoya's Chūbu Centrair International Airport and Osaka's Kansai International Airport...

. The ACCC alleged that between 2002 and 2006, Japan Airlines International Co., Ltd. entered into arrangements or understandings with other international air cargo carriers that had the purpose or effect of fixing the price of a fuel surcharge and a security surcharge that were applied to air cargo carried by them and other airlines. The ACCC alleged that arrangements or understandings were reached in Singapore, Hong Kong and Japan for fuel surcharges applied to cargo originating in those countries. The ACCC also alleged arrangements or understandings were reached in Singapore and Hong Kong for a security surcharge applied to cargo originating in those countries. The ACCC sort declarations, injunctive relief, pecuniary penalties, and costs. The Federal Court in Melbourne ordered a $5.5 million penalty against Japan Airlines International Co Ltd (JAL) for breaching the price fixing provisions of the Trade Practices Act 1974*. JAL admitted to making and giving effect to illegal price fixing understandings with other international airlines that each of them would impose a fuel surcharge and an insurance and security surcharge on cargo carried internationally by air across their networks.

Air New Zealand Ltd

The ACCC instituted proceedings in the Federal Court today against Air New Zealand

Air New Zealand

Air New Zealand Limited is the national airline and flag carrier of New Zealand. Based in Auckland, New Zealand, the airline operates scheduled passenger flights to 26 domestic destinations and 24 international destinations in 15 countries across Asia, Europe, North America and Oceania, and is...

. The ACCC alleged that between 2002 and 2006, Air New Zealand Ltd entered into arrangements or understandings with other international air cargo carriers that had the purpose or effect of fixing the price of a fuel surcharge and a security surcharge that were applied to air cargo carried by them and other airlines. The ACCC alleged that arrangements or understandings were reached in Singapore Hong Kong and Japan for fuel surcharges applied to cargo originating in those countries. The ACCC also alleged arrangements or understandings were reached in Singapore and Hong Kong for a security surcharge applied to cargo originating in those countries. The ACCC sort declarations, injunctive relief, pecuniary penalties, and costs.

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