Australia's largest airline Qantas will pay $66 million in fines for defrauding consumers by selling tickets on fictitious flights and canceling flights without timely notification, reported the State Commission for the Protection of Competition and Consumer Rights (DKZP).
As noted in a statement from the department, the airline pleaded guilty and agreed to pay a fine of 100 million Australian dollars (over 66 million USD) for violating national consumer protection laws. “Qantas will also pay about 20 million Australian dollars (13.3 million USD) to customers who bought tickets on flights the company had not planned to operate,” the commission said, noting that compensation of 225 to 450 AUD (from 150 USD to 300 USD) will reach over 86,500 people.
„Qantas' conduct was completely unacceptable and we expect that the penalty, if upheld by the court, will serve as a deterrent to other companies. “We expect businesses operating in Australia to communicate directly and honestly with their customers,” ACCC chair Gina Cass-Gottlieb said.
The country's largest airline, which accounts for about 66% of all air travel in Australia, was accused by the state's Competition and Consumer Commission of defrauding customers in August 2023. According to the regulator, Qantas sold tickets for more than 8 thousand flights scheduled for the period from May to July 2022, within 2 weeks, and in some cases, within 47 days of their cancellation. The carrier also failed to notify passengers in a timely manner of the cancellation of more than 10,000 flights during this period.