Hungarian Justice Minister Judit Varga had posted a new update on her social media account regarding the dispute over Ryanair’s business practices. The minister wrote that on June 10th, the Government Office of Budapest launched a consumer protection procedure against Ryanair-DAC on the issue of the passing on the extra profit tax to consumers.
The Ministry of Justice, as the professional lead body, has been following the investigation, which has resulted in the Consumer Authority finding an infringement, as the airline has deceived consumers through unfair commercial practices. The fine amounts to HUF 300 million (EUR 765.000).
Photo: Facebook Judit Varga
As the Government has promised, continues Varga
we will protect the Hungarian people and we will launch a consumer protection investigation in all cases where the extra profit tax is passed on.
The wartime inflation and the wartime economic situation demand that whichever multinational company makes extra profit should take its share of the costs of protecting the public and defending the country!”, wrote the minister.
In Hungary the law applies to everyone. Any evasion or passing on of extra profits will continue to be punished by consumer protection investigations and fines, concluded minister Varga.
The budget airline, in a statement sent to Hungary Today, had called the charges “baseless” and has pledged to appeal the fine raised by the Hungarian Consumer Protection Agency. According to their statement, “no notice of any such fine has yet been received by Ryanair. As the Hungarian Govt is well aware, EU Reg 1008/2008 allows all EU airlines the freedom to set airfares for their intra-EU air services as they so choose, without any interference from national Govt.’s or their Consumer Protection Agencies. This EU law prohibits the Hungarian Govt from introducing retrospective travel taxes while attempting to unlawfully limit the right of airlines to pass such unjustified taxes onto passengers. If necessary, Ryanair will appeal this matter to the EU courts”, reads the statement released by Ryanair.
Featured Photo: Pixabay