Administrators for collapsed airline Bonza say the company likely traded while insolvent, with the company's directors to be referred to the corporate regulator for investigation.
Administrators for collapsed airline Bonza say the company likely traded while insolvent.Administrators for collapsed airline Bonza say the company likely traded while insolvent, with the company's directors to be referred to the corporate regulator for investigation.The low-cost regional airline's staff were stood down and have since been sacked, as no buyers made an offer to rescue the company.Creditors, including 323 staff and 71,399 customers, could walk away with nothing.
Hall Chadwick says the Australian directors, CEO Tim Jordan and CFO Lidia Valenzuela, co-operated with the administrators while the two American directors from 777 Partners did not.Bonza planned to begin flying in June 2022 with three aircraft, before scaling up to eight planes by June 2023. Creditors started issuing demands for immediate payment of outstanding invoices from as early as July 2023, the report states.The airline should have charged higher airfares, the report found, while noting Bonza was hamstrung by an exclusive arrangement to sell tickets through its app and not via third-party booking engines." was heavily reliant on funding from 777 Partners to continue its operations, which funding was sporadic and delayed.
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