CCI sees no evidence of collusion by IndiGo, others in price fixing: Report

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.

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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.

Airbus added to 'operational challenge': GoAir explains cancelled flights

The Wadia group-owned airline cancelled as many as 40 flights this week on account of shortage of staff and inclement weather.

Budget carrier GoAir, which cancelled multiple flights earlier this week, on Thursday said the delay in aircraft deliveries by Airbus has added to its operational challenge.

The Wadia group-owned airline cancelled as many as 40 flights this week on account of shortage of staff and inclement weather, among others issues.

"GoAir has placed order of 144 Airbus A320Neo aircraft and experienced delivery delays during the month of November and December, adding to its operational challenge," the airline said in a clarification issued on Wednesday.

It also said that due to inclement weather in North India, the airline experienced extensive flight delays and diversions leading to cancellations of flights as its crew approached its flight duty time limits (FDTL) in the last two-three days.

The cockpit and cabin crew duty and rest norms are governed by the aviation safety regulator, Directorate General of Civil Aviation.

The anti-Citizenship Amendment Act (CAA) protests wherein GoAir crew members were unable to report for duty further exacerbated the issue, the airline added.

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