The head of the consumer watchdog says Qantas should be hit with a fine big enough to act as a deterrent to other companies while investors to scrutinise board over Alan Joyce’s potential bonus.
The head of the consumer watchdog has said Qantas should pay a penalty of hundreds of millions of dollars if found guilty of extensive breaches of consumer law, after the airline groupAustralian Competition and Consumer Commission chair Gina Cass-Gottlieb said the group should pay a penalty big enough to act as a deterrent to other companies if found by the Federal Court to have falsely advertised sales on 8000 flights weeks after they’d been cancelled.
According to the ACCC, Qantas kept selling tickets on its website for an average of more than two weeks, and up to 47 days in some cases, after those flights were cancelled. The flights were scheduled to depart between May and July 2022. The consumer watchdog also alleges that ticket holders on about 10,000 flights were not told their flight had been cancelled for between 18 and 48 days.
The ACCC chair acknowledged that while there was no clear benefit for Qantas over the two-month period the alleged conduct took place, there was a clear loss to consumers. Australian Consumer Law’s section regarding misleading and deceptive conduct is not about intent, but negligence.
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