Australian watchdog sues Singapore Airlines Cargo

Reuters is reporting that Australia's competition watchdog, the Australian Competition and Consumer Commission, sued the cargo unit of Singapore Airlines on allegations they were involved in international price-fixing. The commission has already taken action against Qantas Airways and British Airways, who paid fines totaling $17.1 million.

The commission accused Singapore Airlines Cargo, of entering into arrangements with other carriers to fix the price of a fuel surcharge and a security surcharge between 2001 and 2005. The penalties and costs, are still unspecified.

SIA Cargo spokesperson informed that the airline will defend the allegations, and re-iterated their commitment to competing fairly and within constraints of the law.

Since February 2006, regulators worldwide, have been probing more than 30 airlines over the issue of cartelisation, after U.S. and European officials raided airlines as part of investigations into the imposition of fuel surcharges in international air cargo.