Shipping companies to slap suits

SHIPPING   CARGO   CARTEL

Korea - Two shipping companies are planning to sue 21 international cargo airlines for cartel activities.

Some of the airlines include Korean Air and Asiana Airlines, while the amount of damages is not disclosed.

"The level of punishment [the airlines] received was lower than expected [in the Fair Trade Commission case] as some of the airlines that came forward at the Fair Trade Commission and revealed their wrongdoings saw their fines reduced," says Lee Dae-soon, an attorney at the law firm. "Shipping companies saw huge losses due to the cartel activities."

Lee reveals he is asking more shipping companies to participate in the lawsuit, but most of them are unwilling to damage their relationships with the airlines.

In May, the Fair Trade Commission issued 120 billion won (US$98.5 million) worth of fines against 21 airlines in 16 countries.

This was related to a case in which the US Justice Department fined the airlines for fixing international fuel surcharges on cargo shipments and other related charges in 2007, Joongang Daily reports.

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