Bonza Airline Discussion

[RooFlyer]

Purely a little media spin from someone. If a vehicle is being repossessed, one can’t just block its wheels

I think its probably the airport, saying "You're not taking this anywhere until we get paid first".

 

[N860CR]

I think its probably the airport, saying "You're not taking this anywhere until we get paid first".

Which they have zero authority to do. This is why Australia has a VA process.

 

[oz_mark]

It’s interesting isn’t it - apparently perfectly legal to block a creditor from accessing their secured assets because the company that leased those assets also owe you?

Just games that get played. Court orders can fix things like that sometimes.

 

[RooFlyer]

Which they have zero authority to do. This is why Australia has a VA process.

I dunno. Might depend on the contract they have - right of credit provider to take a lien on debtor assets if in default of payment. A sensible and not unheard of provision - especially when it comes to giving credit to start-up airlines in Australia.

And you do this before it goes into VA, so you are further up the creditor queue.

lien
a right to keep possession of property belonging to another person until a debt owed by that person is discharged.

 

[justinbrett]

It’s interesting isn’t it - apparently perfectly legal to block a creditor from accessing their secured assets because the company that leased those assets also owe you?

I think the minute that aircraft ceases to be leased to Bonza, that airport has no authority to stop it leaving and would be liable for damages.

If the lease was cancelled before VA went into effect (which sounds like the case) I don’t think VA can save it.

 

[Saab34]

That would make sense if they planned on moving them ‘away’, ie to BNE, to avoid any drama. Brisbane won’t ramp block them, as they would be getting paid from the lessors.

Perhaps the airports, suppliers etc should have asked for payment on delivery a while back. Looks like Nauru airlines did.

Employees should have access to a whole range of government options. It’s not like employees would have built up huge entitlements, likely just Annual Leave and outstanding wages, which are covered by the government. Not sure how long that takes to funnel over though.

 

[Chicken]

Purely a little media spin from someone. If a vehicle is being repossessed, one can’t just block its wheels

Didn't an airline fly their plane off as the plane was being repossessed? Some Russian airline?

I, for one, couldn’t give a flying f about MCY airport or any other major corporation right now. There are a lot of families who are now without a job and probably without recent pay or entitlements. Even more sad is that, for many of them, this would be the second time in exactly four years. The fact that a poster here felt the need to laugh at that above is really telling of Australia’s long standing “tall poppy” issue.

I had 5 jobs in the 12 months period of 2019-2020, due to a mix of contracts, and COVID. And they were also a mixed of private sectors and being a public servant (yes, the government fired me because of COVID arriving)

Being made redundant again and again is nothing new, and was already the norm before COVID.

Welcome to year 2024.

Guess what? You get made redundant, you get another job. Remember the 13 bus drivers who all went to Forest Coach Lines (now CDC) to drive timetabled buses?

 

[tcasfail]

According to that same Facebook site, yes. I guess we will see later tonight.

has been pushed back until the 2nd

 

[Berlin]

Very complex web of structures that made it hard for Bonza I suspect.

I think they made it hard for themselves and much earlier than this. Like- launching with an idiotic business plan to begin with?

 

[Chicken]

I think they made it hard for themselves and much earlier than this. Like- launching with an idiotic business plan to begin with?

Also, it seems Bonza got tackled from behind, if you were to believe in some mainstream media:

on April 9, it was announced that A-Cap had grabbed 777’s stake in an aircraft leasing subsidiary called AIP Capital. The joint venture between AIP and A-Cap, ironically called Phoenix Aviation Capital, declared it had “a definitive agreement to acquire the rights, interests and obligations of a portfolio of 30 737-8 aircraft from 777 Partners”.
On Tuesday, AIP Capital exercised those rights by repossessing Bonza’s planes

 

[CaptJCool]

Employees should have access to a whole range of government options. It’s not like employees would have built up huge entitlements, likely just Annual Leave and outstanding wages, which are covered by the government. Not sure how long that takes to funnel over though.

Yes they do

Fair Entitlements Guarantee - Department of Employment and Workplace Relations, Australian Government

A legislative safety net scheme of last resort with assistance available for eligible employees.

www.dewr.gov.au

 

[TedE]

Qantas Group also providing complimentary flights for stranded Bonza passengers today.

Source: https://www.qantasnewsroom.com.au/media-releases/statement-on-support-for-bonza-customers/

Wish they had announced that before I'd booked replacement QF flights home. Rang in transit from BNE to see if I could sort out a refund. Agent didn't seem to know what a Bonza was so probably not information that had filtered down to the call centre at the time. Trying again.

 

[justinbrett]

Wording suggests QF/JQ will carry all Bonza pax today (on similar routes), I believe VA is only carrying Bonza pax who are away from home.

A moot point tomorrow I guess.

 

[Mwenenzi]

Hall Chadwick has been appointed as administrators to the airline.

The cash situation will be interesting here. I think they have burnt more vs what people think.

abc Bonza has entered voluntary administration. What's happening with the flight cancellations across Australia?

 

[encryptededdy]

Wish they had announced that before I'd booked replacement QF flights home. Rang in transit from BNE to see if I could sort out a refund. Agent didn't seem to know what a Bonza was so probably not information that had filtered down to the call centre at the time. Trying again.

Given their own press release says to call Qantas, I can't help but laugh at this.

 

[Mwenenzi]

Also, it seems Bonza got tackled from behind, if you were to believe in some mainstream media:

on April 9, it was announced that A-Cap had grabbed 777’s stake in an aircraft leasing subsidiary called AIP Capital. The joint venture between AIP and A-Cap, ironically called Phoenix Aviation Capital, declared it had “a definitive agreement to acquire the rights, interests and obligations of a portfolio of 30 737-8 aircraft from 777 Partners”.
On Tuesday, AIP Capital exercised those rights by repossessing Bonza’s planes

Depends who is behind this and the source of the money/debt.
Can be smoke & mirrors in this style of financial engineering.

Who We Are – AIP Capital

www.aipcapital.com

 

[pt95]

It’s interesting isn’t it - apparently perfectly legal to block a creditor from accessing their secured assets because the company that leased those assets also owe you?

Or as an outside chance maybe the administrator requested it until they can be sure that the lessor isn't a debtor (or likely to become one).

 

[equus]

Which they have zero authority to do. This is why Australia has a VA process.

Don't be so sure. I don't know, but a lot of Admiralty law also applies to aircraft. In many cases, services supplied to ships (and I think aircraft) can create liens against the vessel. Arresting the vessel until payment is made could be quite legal. There are many cases where owners of ships arrested have to pay the outstanding amounts to get the ships released. It wouldn't surprise me that airport landing and associated fees might be similar, and the planes may not be permitted to leave until they are paid.

 

[Chicken]

Can be smoke & mirrors in this style of financial engineering.

Yeah, unlike VA mark 1, where it was run as an airline, Bonza seems to have hired an idiot who was more interested in budgie smugglers, then the people behind were just treating it as financial instrument.

 

[Gold Member]

Passengers who buy insolvency protection for future flights might have a small window before it’s officially declared.

Was that a extra/add-on/bundle you could select when buying a Bonza fare? That should’ve raised some alarm bells even for Bonza patrons!