New Zealand continues the price-fixing cash grab

NEW Zealand has fined a freight forwarder NZ$2.5 million (US$1.8 million) for its part in an air cargo price fixing cartel.

The Commerce Commission’s win in the New Zealand High Court now heralds further proceedings against the other companies involved.

Geologistics International (Bermuda) agreed to pay the fine and
NZ$50,000 ($37,000) legal fees for agreeing airfreight surcharges with other freight forwarders for cargo between the US and New Zealand.

The judge presiding at Geologistics case described the crime as
“hard-core cartel behaviour”.

Kate Morrison, the commission’s enforcement general manager, said: “The cost of airfreight is very important to New Zealand exporters and importers. Because of the distance from our biggest markets and sources of supply, it is vital that airfreight services are subject to competition between freight forwarders.”

Geologistics agreed in October to pay the US almost $690,000 to settle almost exactly the same price-fixing allegations made against it by the Department of Justice.

Share this story

Related Topics

Latest news

Joe Hete to retire as ATSG chief executive

Joe Hete will retire as chief executive officer of US-based freighter lessor Air Transport Services Group (ATSG) in May this year….

Read More

Share this story

DSV Panalpina confirms thousands of jobs to go as integration continues

By Damian Brett

Freight forwarder DSV has confirmed to Air Cargo News reports that suggest thousands of jobs will be cut as a…

Read More

Share this story

Atlas Air expects China demand surge over coming weeks

By Damian Brett

Atlas Air Worldwide is expecting a surge in cargo over the coming weeks as Chinese factories continue to return to…

Read More

Share this story