
Washington has fined KLM, Lufthansa, and South African Airways a total of USD1.4m for delays in refunding nearly USD1bn in passenger refunds during Covid-19 pandemic.
Lufthansa and KLM face penalties but part of fines credited for refunds issued to passengers with non-refundable tickets who did not travel as per US law.
Lufthansa must pay USD550k within 30 days, while KLM to make four payments of USD137,500 each by December 31 for processing delays exceeding 100 days.
South African Airways were fined USD300k for delays in refunding USD15.2m, to be paid in six tranches over 540 days with business rescue plan to repay liabilities.