Asiana Airlines has been fined 12-point-one billion won, or approximately eight-point-six million dollars, for failing to comply with conditions tied to its merger with Korean Air, according to the Fair Trade Commission (FTC).
The FTC announced on Sunday that it had imposed the fine and referred the case to prosecutors, stating that Asiana violated the merger approval conditions by exceeding the permitted fare increase limit.
The ban on surpassing the average fare increase cap was one of the corrective measures imposed during the merger process with Korean Air.
Asiana was found to have raised fares on three international routes from Incheon to Barcelona, Frankfurt, and Rome, as well as a domestic route between Gwangju and Jeju, exceeding the allowed increase by at least one-point-three percent and up to 28-point-two percent.
The FTC had approved the merger between Asiana and Korean Air on the condition that structural and behavioral remedies be applied to 26 international and eight domestic routes where competition concerns were considered significant.
Behavioral remedies included a cap on average fare increases and a ban on reducing seat supply.