Italy's competition authority has imposed a €2 million fine ($1.97 million) on Italian national carrier Alitalia for what head of the authority Giuseppe Tesauro describes as "repeated abuse of its dominant market position".
The airline was charged with infringements of European competition law after it increased fees and commissions to tour operators and travel agencies to secure their business. According to the Italian authority, the commissions paid this year by the airline are far larger than in 2000 and are an infringement of Section 82 of the Treaty of Rome, the European Union's founding document.
Alitalia was first sanctioned by the competition authority in May 2001, but managed to have the fine suspended. However, it maintained its incentive schemes and the competition authority has ordered the carrier to pay the €2 million fine within 90 days and report to the authority describing its removal of the incentives.
The authority imposed a limited fine in consideration of the carrier's current financial difficulties. Italian law provides for a fine of up to 10% of sales - a maximum penalty of €526 million.
Source: Flight International
