Airlines again under CCI scanner

Airlines face a fresh probe for suspected cartelisation and for the alleged arbitrary rise in fares, with the Competition Commission of India on Thursday saying it needs to get to the bottom of the issue.

As a group of MPs, led by Bharatiya Janata Party leader Kirit Somaiya, on Thursday lodged a fresh complaint with CCI against the carriers. CCI Chairman Ashok Chawla said the regulator wants to ascertain whether there was a cartel at play. Chawla said the CCI has looked into the matter in the past also, but it could not take any action as there was no evidence, although there was no doubt that the market was getting concentrated among a few. Somaiya also made a complaint against mobile telephone companies, alleging unfair trade practices on issues like net neutrality.

"On both the issues, the CCI chairman has assured me that they will go through (the matter) and take necessary action, if required," Somaiya told reporters after his meeting with Chawla.

He also submitted details relating to some companies in the airline and telecom sectors to corroborate his complaints.

On the airfare issue, Chawla said, "The commission has looked at it in the past also. We have not been able to take any action (in the past), because we could not find any evidence of truth.