Qantas, Australia’s flag carrier, has admitted that it advertised and sold tickets to customers for flights that had already been cancelled.The scope of the problem was even larger than the Australian Consumer and Competition Commission (“ACCC”) had thought, going on for a year longer than initially thought and impacting tens of thousands of consumers.Qantas and ACCC agreed to settle the case for A$120 million in penalties and compensation.
New Qantas CEO, Vanessa Hudson, who began her role two months early when the allegations arose and former CEO Alan Joyce left, indicated that the decision to settle the case was not motivated by the timing, but an important step to restore customer confidence.