Ticket refunds to follow settling of secured debts -Alli
June 22, 2002
Refunds to GA 2000 passengers, who were unable to travel prior to the closure of the airline, will be made after its secured and preferential debts have been settled.
In a statement issued yesterday, Receiver/Manager, Ronald Alli, said "the process of realisation is continuing, but more slowly than anticipated in an effort to attract the best prices within the current economic climate." However, he pointed out that the funds realised would be used to first satisfy secured and preferential debts. He said that only after these debts were settled would consideration be given to settling the unsecured liabilities. "The amounts due to passengers who purchased tickets but were unable to travel prior to the closure of GA 2000," are among the unsecured liabilities.
Stabroek News understands that passengers who had purchased their tickets by credit cards would have received refunds once the funds held in the US for that purpose was reconciled.
The security deposit lodged with the Canadian authorities, as GA 2000 was licensed as a charter operation in Canada, is a possible source of funds with which to reimburse passengers.
GA 2000 was the successor company to the state-owned Guyana Airways Corporation after it was privatised with a number of local businessmen as its major shareholders. The Guyana government was also a shareholder and guaranteed payment to BWIA for a number of passengers to North America who were stranded here.
GA 2000 folded last year under a mountain of debt. Alli was appointed receiver under the terms of two debentures issued to Demerara Bank. This appointment was varied by Justice Desmond Burch-Smith on August 20, 2001 to receiver/manager.