Air Cargo Pfeil After Price
Fix Jail
 (Exclusive)—Timothy
Pfeil, left (pronounced File) understands up close & personal what
kind of downward pressure the ongoing price fixing scandal can bring to
individuals in air cargo.
Timothy spent six months in U.S. Federal
Prison moving from high profile management level in air cargo to jail
cell and then back again to the industry that for some reason he says
he still loves.
Timothy Pfeil was SAS Cargo Area Director
of Sales-The Americas, based in Newark when the former Scandinavian Airlines
employee was told by his boss to destroy documents relating to the collusion
charges the airline pleaded guilty to last year.
 Pfeil
later testified in U.S. District Court that it was Jan Lillieborg (pictured
here) who at the time served as SAS Cargo Vice President Global Sales
based in Stockholm, who told him to destroy documents on the same day
workers from the Danish Competition Council raided the company’s
offices at Copenhagen Kastrup Airport.
That was in February 2006.
What happened next is documented except
to say what had taken this air cargo executive years to build came crashing
down all around him as he traded his personal freedom for the lockup.
Today Timothy Pfeil is Vice President of
Sales and Airline Relations for Platinum Cargo.
His old boss Jan Lillieborg was indicted
in USA on charges of conducting illegal activities in the case, including
obstructing justice.
Just last week Jan was fired from his job
at Green Cargo based in Solna, Sweden.
Mr. Lilleborg, as this is written Saturday
August 29, is reportedly being sought by Interpol and is on the lam one
step ahead of the law somewhere in Europe.
So add, to two individuals sentenced to
jail time and another who is avoiding law enforcement, a growing list
of air cargo executives and hundreds of millions of dollars taken down
by the price fix scandal.
So far SAS has paid fines totaling about
$56 million.
As you read this, the story is therefore
far from over because in addition to probable capture and prosecution
of Lillieborg, SAS Cargo still faces additional liability as EU investigations
continue.
For his part Timothy Pfeil is still living
in some doubt while cooperating with authorities here.
“These days I am extremely careful
about saying anything that could in any way cause a problem for U.S. DOJ’s
ongoing investigation,” he said.
“I do not ever want to go back to
Federal Prison.”
Despite the glare of the price fix scandal
in media around the world, a bright spot to all of this, Tim says, is
that people have responded with quiet and determined support, meaning
despite all the pontificating by the U.S. Feds and others, some people
in air cargo take a measured look at the situation.
Best example of the last sentence is Don
Cochran (left) and the Platinum Air Cargo Team where Timothy works today.
Platinum did not allow the heat of headlines
to affect their judgment of a loyal and talented air cargo executive who
got caught up in what has become an ever-widening web of prosecutions
against people and companies in air cargo.
“Platinum has stood behind me 150%,”
Timothy Pfeil said.
“I am also very humbled by the graciousness
that the air cargo community, especially at JFK in New York has shown
in welcoming me back to work.
“I am proud to be a continuing part
of this great industry.”
You look at this guy who can speak like
this after the unspeakable happened to him and can only wonder.
All of us through our own love of work and
company, misunderstanding or zeal to protect our jobs or coworkers might
have thrown ourselves under the bus for some or all reasons that motivated
Timothy Pfeil in 2006.
Bruce McCaffrey, who faced the same Armageddon
as Tim Pfeil, told me that he never thought twice about the charges that
DOJ threw at him figuring, after spending more than a quarter century
humping and running air cargo for Qantas and never doing anything including
remodeling the men’s room at Qantas Freight LAX without complete
line item authorization from Australia, Qantas would handle DOJ and the
charges.
But when that did not happen and he was
faced with defending himself as Qantas left him twisting in the wind,
he copped a plea.
Both Bruce and Tim and Jan, as well as a
growing list of air cargo executives will have to face the music alone
during this ongoing era of price fixing, with its expanding number of
prosecutors who have come out of the woodwork from an ever-widening circle
of countries, eager to make their reputation at air cargo’s expense
But Tim is out there, doing business because
some of us will stand up for each other, as confirmation to all of us,
that life goes on and all things pass.
Bruce McCaffrey, while not challenging his
jail time or pleading about his ill health, has also carried himself with
dignity and determination.
Increasingly a question being raised by
more than a few people in and out of air cargo is when will enough be
enough?
An answer may be found, when that high profile
media story that broke a couple of weeks ago when Australia came forward
with charges against Emirates, is played out next month down under.
Emirates said it prefers to fight rather
than fold.
Interestingly New Zealand Commerce Commission,
(NZCC) investigated ANZ and other airlines including Emirates a year ago
against similar claims that they were involved in a cargo cartel between
2002 and 2006 and decided not to proceed.
So maybe Emirates will be the watershed
moment in the price-fix circus that so far has milked millions and clobbered
hapless employees in air cargo?
Anybody who doesn’t think law enforcement
is not a bit out of control here is not paying attention.
From the outside looking in, EK would seem
to have some back up as it goes up against the Australian Competition
and Consumer Commission (ACCC) that claims that EK & ANZ colluded
on the trans-Tasman.
  Rob
Fyfe, (left) ANZ CEO has said that never happened.
Speaking to the New Zealand Press Association
(NZPA) Mr. Fyfe said:
"Our own thorough review of the documents
shows that Air New Zealand acted appropriately in all our discussions
and communications," Mr. Fyfe said.
“In September 2003, Air NZ was beginning
the introduction of A320 aircraft onto the trans-Tasman route, which created
a shortage of cargo capacity because they replaced wide-body aircraft,”
NZPA said.
“At about the same time, Emirates
had just entered the Tasman market bringing massive over-capacity of passenger
and cargo services, making them a logical source of extra wide-body capacity.”
"This was the context of discussions
with Emirates which after some negotiation, resulted in a cargo Special
Prorate Agreement (SPA); a very standard and entirely legal agreement
in the airline industry,” Mr. Fyfe said.
Letters, e-mails and telephone conversations
between Air New Zealand managers and their counterparts at Emirates will
be used as evidence, The Sydney Morning Herald said last week.
Unfazed, an eyebrow-raising date of September
11 or 9/11 has been selected for everybody to show up in Australian court.
Stay tuned.
Geoffrey
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