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MRTPC or Monopolies and Restrictive Trade Practices Commission has ordered a probe into Jet Airways- Kingfisher Airlines alliance, reports CNBC-TV18 quoting PTI. Earlier, CNBC-TV18 had reported on October 15 that MRTPC was planning a probe on the Jet-Kingfisher alliance.
Acording to sources, MRTPC investigative arm DGIR will ask for copy of Jet-KF alliance arrangement. DGIR or Director General of Investigation and Registrationwill probe whether the alliance is detrimental to the aviation industry. DGIR will also probe whether the move is unfair to consumers.
Here is a verbatim transcript of Vivek Law's comments on CNBC-TV18. Also watch the accompanying video.
The MRTPC or Monopolies and Restrictive Trade Practices Commission and the DGIR or Director General of Investigation and Registration officials held a meeting on the Jet-Kingfisher alliance. The MRTPC is expected to direct the DGIR to probe the Kingfisher Airlines and Jet Airways alliance. However, the DGIR will not take up suo-motu investigation.Earlier, Kingfisher Airlines and Jet Airways entered into a code-sharing alliance. The two companies made a pact for common fuel management, ground handling, network rationalisation and cross-crew use. The two airline rivals have also joined hands for cross sales and staff training. Kingfisher and Jet are also in a reciprocal frequent-flier plan arrangement and the two will consider co-branding opportunities.
The move was followed by Jet dismissing 600 employees in one of the largest layoffs in the Indian aviation sector and there was speculation that Kingfisher may follow suit.
Also Read: Jet-KF alliance not a marriage of convenience: Naresh Goyal
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