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Emirates to cooperate with South Africa over ‘incentives’ claims

Airline accused of offering incentives to travel agents ‘to divert sales from competitors’

Emirates has pledged to “cooperate fully” with a South African investigation into claims the airline offered incentives to travel agents to boost business.

South Africa’s Competition Commission confirmed it is investigating Emirates for alleged abuse of the Competition Act, according to the Johannesburg-based Business Day newspaper.

The act bans firms from inducing a customer not to deal with a competitor. The Emirates investigation hinges on allegations that the airline offered South African travel agents incentives between 2010 and 2014 that diverted sales from competitors.

Emirates confirmed last week it was the subject of an inquiry. And, on Monday, it said it was cooperating with the South African authorities.

An Emirates spokesperson said: “We take compliance with competition law very seriously wherever we operate, and we are cooperating fully with the Commission’s enquiry.

“As this is an on-going matter, Emirates will not make any further comment at this stage.”

The investigation has been in place since April last year, Business Day reported. “Unfortunately, I am unable to tell when the investigation will be completed, but substantial work has been done,” commission spokesperson Itumeleng Lesofe was quoted as saying.

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