Albo’s mate, Alan Joyce, must resign

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Nice work if you can get it:

Qantas faces tens of millions of dollars in fines over allegations it engaged in false, misleading or deceptive conduct by advertising tickets for more than 8000 flights it had already cancelled.

The Australian Competition and Consumer Commission on Thursday alleged that Qantas sold tickets for flights an average two weeks and up to 47 days after they were cancelled between May and July last year, causing chaos for travellers.

When the competition police make you an exception, this is the kind of behaviour you can expect.

It’s called moral hazard and it is Albo’s fault for having produced it by swapping favours with Qantas.

In return for support on the Voice and dispensations for Albos family, Qantas has been protected from competitors seeking to lower airfares.

Now we have Qantas alleged to have conducted a multimillion-dollar fraud. Its response?

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Meanwhile Qantas on Thursday announced it would scrap the December 31 expiry date for more than $500m worth of Covid travel credits, giving travellers more time to redeem the money on flights or seek a refund.

The announcement came after increasing outrage about the amount of funds held by Qantas for flights that never happened due to Covid-restrictions.

That speaks volumes about how Qantas management sees its license to operate. You scratch my back, I’ll scratch yours.

Alan Joyce must, at minimum, step aside while the ACCC conducts its case.

Or do us all a favour and resign.

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About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.