Fly540 Ordered To Stop Advertising Flight Bookings, Refund Customers With Outstanding Claims

 

By Dennis Musau

The Competition Authority of Kenya has ordered local airline Fly540 to stop advertising its flight bookings everywhere following customer complaints filed against the airline.

Through a statement on Wednesday, CAK said it had received over 50 consumer complaints, among them false and misleading information on the possibility of customers amending flight itineraries, cancellation of flights, and inordinate delays in refunding consumers.

The authority said it was probing whether the airline has contravened the constitution by false and misleading representation, as well unconscionable conduct in its operations.

“The Competition Act No. 12 of 2010 mandates the Authority to enforce consumers’ rights. These include the right to accurate information necessary for them to gain full benefit from goods and services, and specifically prohibits misrepresentation and false advertising,” the statement read in part.

Consequently, the CAK issued a cease-and-desist order to Fly540 and directed the airline to stop receiving flight bookings until investigations are done.

“Fly540 is hereby directed to, with immediate effect, cease and desist from advertising flight bookings through electronic, print and social media or receiving any flight bookings from the Public or travel agents until the ongoing investigations are completed,” the authority ordered.

Additionally, the company was instructed to refund customers with outstanding ticket refund claims by November 30.