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Global Distribution Systems which serve as a bridge between civil airline companies and agents bring
high costs for airline companies. These systems can also bring forth extra costs (burden) for the
companies as a result of the fraudulent or erroneous reservations made by the agents. The method used
by the airline companies in making collections from the agents depends on whether the agents are
IATABSP members or not. This article strives to examine the compensation process for the losses of the
airlines which incur due to the BSP agents and how this process may be translated into the accounting
records.