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Australia's first direct flight to the UK started on Sunday from the western city of Perth, with flight time being about three hours, with stops in Singapore or the Middle East being dropped, Qantas officials said. Scarlett Cvitanovich reports.
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A Qantas Airbus A380 launches on August 25, 2017 from Sydney Airport. [PHOTOS: PETER PARKS, AFP / Getty Images]

WASHINGTON – Qantas Airways agreed to pay up to $ 125,000 in civil penalties after the Transportation Department accused of violating the rules for flights within the United States

Australia's flagship denied the misconduct and explicitly denied violating US rules. But Qantas agreed to the settlement on Wednesday to resolve the allegations.

The case concerned US law, which generally prohibits a foreign airline from hauling passengers between two cities in the US, which is called cabotage.

Foreign airlines fly freely between countries, but then each country relies on its own domestic airlines to fly within their own borders.

The department's complaint against Qantas focused on flights from the US to Tahiti and New Zealand in 2015 and 2016. Direct flights from Los Angeles to these remote islands were not the problem.

But some passengers began their travels at New York's John F. Kennedy International Airport aboard Qantas aircraft before changing aircraft and vehicles in Los Angeles. Passengers flew on aircraft from other airlines that were Qantas codeshare partners.

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