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Thursday, February 2, 2023

Romanian low-cost carrier Blue Air suspends operations

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Following the seizure of its accounts by the nation’s Ministry of the Environment for failing to meet its financial obligations to suppliers and failing to pay a nearly $2 million fine for delayed flights, Romania’s low-cost carrier Blue Air has halted operations.

The airline announced that on September 6, all return flights would run according to schedule. The airline will thereafter temporarily cease operations once all the planes have returned to Romania.

Blue Air announced in a statement reported by Romanian media that it is ceasing all operations until at least September 12, 2022, out of its four hubs: Bucharest Otopeni (OTP), Bacau (BCM), Cluj Napoca (CLJ), and Iasi (IAS).

However, the airline contends that because the government had frozen its accounts, it was unable to pay its partners, including suppliers.

“Due to an unforeseen situation consisting in the seizure of all the accounts of the BlueAir company by the Ministry of the Environment for non-payment of a fine, the airline company BlueAir Aviation is forced, being unable to pay any supplier, to suspend all flights scheduled to depart from Romania,” Blue Air said in its statement.

Blue Air was fined $1.97 million (€2 million) by the National Authority for Consumer Protection (ANPC) in mid-July 2022 for canceling more than 11,000 passenger flights between April 30, 2021, and April 30, 2022.

After that, the low-cost airline was required to reimburse clients for their money within a maximum of 10 days. Blue Air, on the other hand, objected to the fine and charged the ANPC with ineptitude, saying it would take the matter to a local court.

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