Former Arrow Air and South Winds Cargo Executives Sentenced for Price Fixing
On April 13, 2012, Guillermo Cabeza, former President, Arrow Air, and Luis Juan Soto, former President, South Winds Cargo, were sentenced in U.S. District Court in Miami, Florida. In November 2011, Mr. Cabeza and Mr. Soto pled guilty in a conspiracy to fix the cargo rates charged to customers for international air shipments to and from the United States. During the period October 2001 through at least February 2006, Mr. Cabeza, Mr. Soto, and others conspired to suppress and eliminate competition on cargo rates by fixing and coordinating charges, including security and fuel surcharges, charged to customers for air cargo services to and from the United States.
Mr. Cabeza was sentenced to 3 years probation, ordered to perform 100 hours of community service, fined $20,000, and assessed $100. Mr. Soto was sentenced to 6 months monitored home detention, 3 years probation, ordered to perform 100 hours of community service, fined $20,000, and assessed $100.
This is a joint investigation with the FBI and U.S. Postal Service OIG.