Friday, February 1, 2013

Batavia Air Ends Operations After Bankruptcy Petition Approved

Private carrier Batavia Air announced that it would cease operations beginning at 12 a.m. on Thursday after a Jakarta court ruled in favor of a bankruptcy petition filed against the airline on Wednesday.

“Starting tonight at 12:00 a.m. midnight, all operational activities of Batavia Air will cease,” Batavia’s lawyer Raden Catur said after a hearing at the Central Jakarta Commercial Court.

The bankruptcy petition was filed by the International Lease Finance Corporation, an aircraft leasing company headquartered in the United States, and concerned a $4.68 million debt.

Batavia reportedly failed to pay leasing fees for an Airbus A330 fleet it leased from the US firm at the agreed upon deadline on Dec. 13, 2012. The airline was planning to use the fleet to serve Indonesian hajj pilgrims, but failed to win a bid for that.

“[We] decide to grant the petition, entirely,” chief judge Agus Iskandar told the Wednesday hearing, as reported by Indonesian news portal

Catur said Batavia had seven days to decide whether to appeal the verdict and had yet to make any decision on the matter.

Article taken from JakartaGlobe

As you may already be aware that I have max out my facebook 5000 friends limit therefore to continue to get updates on latest news and jobs opportunity for both pilots and cabin crew, you can LIKE the Fly Gosh Fan Page by clicking HERE