Passengers to get refunds as Dynamic formally closes Guyana operations

TIMES INT'L

Following its pull out of the local market, Dynamic International Airways has committed to honour all its financial obligations.
In a statement issued on Monday, the airline disclosed that it suspended its operations on October 3rd to facilitate its reorganisation of its Chapter 11 Case under which it has filed for bankruptcy. The airline said it remains committed to honouring all outstanding financial obligations, whether to passengers, airport authorities, or the Guyana Civil Aviation Authority.
The company has said that those passengers who had booked to travel with its chartered service out of Guyana and New York beyond the October 3 suspension date would be issued a refund on the unused portion of their ticket.
However, the airline has disclosed that it is soon to enter into discussions with an interested party about serving the Guyana/New York Market under a new arrangement, which is permitted as it seeks to reorganise.
“The new arrangement, known as an ACMI agreement, would allow Dynamic to serve the Guyana/New York market”, Chief Executive Officer of the airlines noted. Further, the airlines thanked Roraima Airways for its service as its local partner in Guyana.
The voluntary Chapter 11 petition was filed by Dynamic Airways with the United States Bankruptcy Court in the Middle District of North Carolina.
This chapter of the Bankruptcy Code generally provides for reorganisation. Moreover, Chapter 11 allows a debtor to propose a plan of reorganisation, to keep its business alive and pay creditors over time.
This includes the lawsuits from Hajj flights that Dynamic operated in 2014 for Air India, and an arbitration award against Dynamic Intl., finding that the airline was in breach of contract by failing to pay commissions to BKP Enterprises in connection with the Hajj flights.
Just a month after filing for bankruptcy, one of the airline’s creditors had moved to the courts to force the airline to liquidate its assists; Dynamic then owed some US$1.19 million.

Related posts