6-Jul-2011 8:09 AM

Tiger suspends ticket sales following ACCC warnings

Tiger Airways Australia announced (05-Jul-2011) that following its service suspension by CASA, all its flights have been temporarily been removed from sale. The Australia Competition and Consumer Commission chairman Graham Samuel stated he was “bewildered” the airline had continued to sell tickets without disclosing the severity of the situation (The Australian Financial Review, 06-Jul-2011). Mr Samuel said Tiger had been “extraordinarily slow” in responding to warnings from himself and the state competition regulators that the airline could be in breach of consumer laws. The chairman also expects Tiger to expedite its process of refunding passengers, adding the ACCC believes that Tiger holding onto the money is “a very convenient float that’s to their advantage”. CASA stated that it expects to make a decision by Thursday on whether to ground Tiger beyond the weekend (AFP, 05-Jun-2011). [more]

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