June 2, 2023
2 mins read

British Airways fined $1.1m by US  

British Airways’ owner IAG raises profit guidance as it sees capacity at 97% of pre-pandemic level…reports Asian Lite News

British Airways (BA) has been hit with a fine of $1.1m (£877,000) by United States government.

The US Transportation Department issued the punishment for failing to provide timely refunds for flights to and from the US that were cancelled due to the COVID-19 pandemic.

It said it had received more than 1,200 complaints saying the airline failed to provide timely refunds since March 2020.

The fine is “a strong deterrent to future similar unlawful practices” by BA and other airlines, the government department added.

Customers were unable to get through to customer service staff when contacting the airline because of inadequate customer phone lines, it said.

BA responded: “We’re very sorry that at the height of the unprecedented pandemic – when we were unfortunately forced to cancel thousands of flights and close some call centres due to government restrictions – our customers experienced slightly longer wait times to reach customer service teams.”

British Airways’ owner IAG raises profit guidance as it sees capacity at 97% of pre-pandemic level.

https://www.youtube.com/watch?v=qE4a-cP4gI0

“During this period, we acted lawfully at all times and offered customers the flexibility of rebooking travel on different dates, or claiming a refund if their flights were cancelled.”

The United Kingdom’s flag carrier airline is being credited $550,000 (£438,793) toward the penalty because in 2020 and 2021 it paid more than $40m in refunds to customers with non-refundable tickets.

Since the start of the pandemic more than five million refunds have been issued, BA added.

Other airlines have also been fined by the department for not issuing timely refunds by the US Transportation Department. Chilean airline LATAM was ordered to pay $1m after it and affiliates delayed refunds.

In the UK the Competition and Markets Authority (CMA) launched an investigation to see if airlines breached legal rights by failing to offer cash refunds for flights that consumers could not lawfully take due to COVID-19 lockdown rules.

The CMA concluded the law didn’t provide passengers with a sufficiently clear right to a refund in the unusual circumstances of the pandemic and closed its examination.

BA is owned by IAG (International Airlines Group) who also own Vueling and Aer Lingus.

ALSO READ-Etihad Airways named Environmental Airline of 2023

Previous Story

UK govt to launch legal bid to stop Covid inquiry on Johnson  

Next Story

‘Srinagar G20 meet a lesson for trouble makers’

Latest from -Top News

Pakistan Faces Rising Uprisings

Officials warn that Pakistan cannot continue suppressing such protests by force indefinitely. A breaking point, they say, is inevitable — when the growing discontent converges into a major challenge for the establishment

‘A Day to Rejoice’

In its statement, British Friends of Israel saluted the courage and resilience of the hostages and expressed deep sorrow for those who did not survive captivity After 737 days of anguish, the

UK to Lead Gaza Rebuild

PM announces an additional £20 million aid package aimed at providing essential water, sanitation and hygiene services to tens of thousands of people Prime Minister Keir Starmer attended the signing ceremony of

UN Faces Crisis, Says Rajnath

Rajnath Singh said India recognises that the success of peacekeeping depends not only on numbers but on preparedness….reports Asian Lite News Defence Minister Rajnath Singh on Tuesday highlighted the urgent need for

UK to host summit on Gaza recovery plan

The three-day conference, beginning Monday afternoon, will take place at Wilton Park, the Foreign Office’s policy forum based in West Sussex The UK will host an international summit on the recovery and
Go toTop

Don't Miss

UK takes first steps towards new trade deal with Israel

As part of her visit, the International Trade Secretary will

Explore most popular destinations in the UK

As one of England’s largest cities, Manchester boasts a rich