Star1 Airlines files for bankruptcy

TESTCustomwebLP TESTCustomwebLP
By TESTCustomwebLP TESTCustomwebLP October 5, 2010 23:01

Star1 Airlines files for bankruptcy

Lithuanian airline Star1 Airlines has filed for bankruptcy after a flurry of legal claims when its only aircraft was detained in Dublin last week. The Star Team Group stated in a press release that it was “unable to continue providing funding to its wholly-owned Star1 Airlines… due to [the] detention [of its only aircraft] in Dublin airport” and that it has decided to “initiate bankruptcy to Star1 Airlines”.

The aircraft was detained in Ireland following a dispute between management and investors, which prompted passengers, airline staff and Vilnius International Airport to register legal claims against the airline. Now the group has initiated bankruptcy proceedings all claimants are unlikely to recover funds due to the amount of claimants.

“All creditors of Star1 Airlines will be informed about their claims’ submission procedures and deadlines after the application for bankruptcy is submitted to the Court,” the airline said.

The airline was given until last Thursday (Sept 30) to submit documents to the government proving that it could continue to operate, but as it failed to do so, its licence was revoked.

TESTCustomwebLP TESTCustomwebLP
By TESTCustomwebLP TESTCustomwebLP October 5, 2010 23:01
Write a comment

No Comments

No Comments Yet!

Let me tell You a sad story ! There are no comments yet, but You can be first one to comment this article.

Write a comment

Only <a href="http://www.aviationnews-online.com/wp-login.php?redirect_to=http%3A%2F%2Fwww.aviationnews-online.com%2Ffinance%2Fstar1-airlines-files-for-bankruptcy%2F"> registered </a> users can comment.