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MAVCOM imposes financial penalties on AirAsia Berhad and AirAsia X Berhad for non-compliance of the Malaysian Aviation Consumer Protection Code 2016

4 Dec, 2018

The Malaysian Aviation Commission (MAVCOM) has imposed a financial penalty on AirAsia Berhad and AirAsia X Berhad for the non-compliance of subparagraph 3(1) of the Malaysian Aviation Consumer Protection Code 2016 (MACPC) in Q2 2018. As prescribed in the MACPC, an airline shall indicate the final price of air fares to be paid for the air transport service offered or published by an airline in any form, including the internet. The final price of air fares shall include any taxes, fees, charges, surcharges which are unavoidable at the time of publication. AirAsia Berhad and AirAsia X Berhad were imposed a financial penalty amounting to RM160,000 each, for advertising misleading air ticket prices. Both entities have made the full penalty payment to MAVCOM on 26 October 2018 and 9 November 2018, respectively.

The MACPC came into effect on 1 July 2016, and it was published in line with MAVCOM’s aim to protect the rights and interests of consumers. As the first consumer protection code specifically intended for Malaysia’s aviation industry, the MACPC ultimately provides for more transparency on aviation service providers’ obligations towards consumers and clearer guidance for consumers on their rights and interests as air travellers.