The largest airline in Australia, Qantas, has consented to pay a penalty of A$100 million ($66.1 million, £52.7 million) in order to resolve a lawsuit alleging that it sold thousands of tickets for flights that it had already canceled.
The company would also introduce a plan worth up to A$20 million to compensate impacted passengers in accordance with the agreement with the Australian Competition and Consumer Commission (ACCC).
Vanessa Hudson, the CEO of Qantas, stated that the action was a significant step in “restoring confidence in the national carrier.”
In August, the ACCC initiated the “ghost flight” complaint, alleging that Qantas had sold tickets for flights that were canceled for weeks at a time in certain cases.
The Federal Court of Australia will now need to approve Qantas and the ACCC’s penalty arrangement.