CCI in 2015 ordered a probe into allegations of anti-competitive practices after similar fares were being offered on certain routes by IndiGo, SpiceJet , GoAir, state-run Air India and Jet.
Investigators
with India's antitrust watchdog have found no evidence that the
country's biggest airline, IndiGo
, and four rival carriers colluded to fix ticket prices, three
sources with direct knowledge of the matter told Reuters.
The
Competition Commission of India (CCI) in 2015 ordered a probe into
allegations of anti-competitive practices after similar fares were
being offered on certain routes by IndiGo, SpiceJet , GoAir,
state-run Air India [AIN.UL] and now-defunct Jet Airways .
The
CCI inquiry, which included an analysis of the algorithms airlines to
determine ticket fares, found that all five airlines were working
independently, the three sources said.
"No
direct evidence of cartelisation was found," said one of the
sources, who added the investigation also did not reveal any
communication amongst airline executives to fix prices.
Budget
airline IndiGo, the country's biggest carrier, said in a statement
"the case is without merit" and added that it has been
cooperating with the investigation.
The
second-biggest airline, SpiceJet, GoAir,
Air India and Jet Airways did not respond to a request for comment.
The CCI did not respond to questions from Reuters.
An
adverse finding could have led to a fine of up to three times the
profit made in each year prices were fixed, or 10% of annual revenue,
whichever is higher. Indian airlines are already grappling with slow
growth in air traffic.
Details
of the CCI case, which was investigated in two phases, have not been
made public in line with the watchdog's practice.
The
agency, whose senior members are reviewing the investigation
findings, has not made a final ruling and could further extend the
investigation. But two of the sources said the airlines were likely
to be cleared.
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