Another airline ordered into bankruptcy, all flights off

Resumen detallado

Much else around the order and Global Airlines' current state remains shielded from the public as the internal business situation of a private company but, under UK insolvency…

Global Airlines, an airline startup project that travel platform Holiday Swap founder James Aqsuith launched with a plan to purchase Airbus A380 planes and launch as a transatlantic budget airline similar to Norse or French Bee, has been ordered to shut down and liquidate by a court.

A public records notice in the United Kingdom that just went public states that The High Court of Justice in London issued a winding-up petition to the virtual airline on November 4 after months of pressure by creditors claiming that the project was bleeding money without getting off the ground.

Much else around the order and Global Airlines' current state remains shielded from the public as the internal business situation of a private company but, under UK insolvency law, compulsory liquidation is an insolvency procedure ordered by a judge when a company is unable to pay its debt but does not choose to wind down voluntarily.

Efforts to force Global Airlines into compulsory liquidation date back to last spring when a woman claiming to be a creditor filed a petition asking for the High Court of Justice to to place Global Airlines into involuntary liquidation due to mounting financial losses.

After the startup was first proposed to investors by Aqsuith in 2019, one flight from Glasgow to New York ran through a damp lease from Hi Fly Malta but the one A380 plane purchased by Global Airlines was since put in long-term storage in southern France due to extensive maintenance backlogs.

Related: Another airline pressured to shut down, faces liquidation risk

The initial goal was to run a virtual airline in which Global Airlines would market a network of specific flights to popular destinations but outsource the operations to more established carriers through a wet-lease agreement.

The carrier also faced challenges finding an operator who could run its envisioned flights on a A380 plane as the financial losses due to the high cost of launching an aviation company continued to accrue.

With the airline…

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