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ARTICLE · 01 MAY 2018

CCI Imposes Penalty For Price-Fixing In Air Cargo Operations

Vaish Associates Advocates
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The CCI vide order dated 07.03.2018 has imposed penalty on three domestic airlines, namely, Jet Airways (India) Ltd, InterGlobe Aviation Limited and SpiceJet Limited amounting to INR 39.81...

IndiaAntitrust/Competition Law
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Article by MM Sharma, Head Competition Law & Policy Practice, Vaish Associates, Advocates, New Delhi, India

The Competition Commission of India ("CCI") vide order dated 07.03.2018 has imposed penalty on three domestic airlines, namely, Jet Airways (India) Ltd ('Jet Airways'), InterGlobe Aviation Limited ('IndiGo Airlines') and SpiceJet Limited ('SpiceJet') (collectively 'OPs') amounting to INR 39.81 Crore, INR 9.45 Crore and INR 5.10 Crore respectively for inter alia colluding to fix uniform rate of Fuel Surcharge for cargo transportation. The penalty was imposed @ 3% of the average relevant turnover from cargo operations.

Background of present proceedings

Incidentally, vide an earlier order dated 17.11.2015, the CCI imposed a cumulative penalty of INR 257.91 Crores on the same OPs on the same allegation. While imposing penalty on the OPs, the CCI had disagreed with the DG's Investigation Report ("DG Report") which had exonerated the OPs of any

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