Fiji Airways reject allegations, yet to receive full payment

February 1, 2024 4:35 pm

Fiji Airways says it remains committed to transparency, and will cooperate with any lawful investigation initiated by the Fiji Independent Commission Against Corruption.

This is in relation to a complaint directed to FICAC in connection with certain charter flights operated by the company between Fiji and Israel in September and October last year.

Fiji Airways says the allegations primarily concern the legality of a Deed of Forbearance and guarantee entered into between Fiji Airways and the charterer, who faced challenges meeting its payment obligations in connection with the charter flights.

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Fiji Airways has this afternoon strongly rejected the allegations made against the company and its Board of Directors.

The company says the deed was drafted by the company’s legal counsel, and was a prudent and lawful measure taken to protect the company’s interests, and ensure a viable payment plan.

It adds the deed did not reduce the amount payable by the charterer to Fiji Airways for the charter flights, but rather split the payment into a number of instalments.

It further states that whilst a payment instalment due in December 2023 was missed, the company is in ongoing communication with the charterer, and expects to receive full payment of the outstanding balance of the charter price in the coming weeks.

The national airline adds the deed was not registered on the Personal Property Securities Register, because it does not create a security interest in personal property capable of registration.

Fiji Airways emphasizes that the decision to operate the charter flights to Israel was based on purely commercial considerations.

It says the national airline stands by its ethical business practices, and is taking legal advice in respect of the false and defamatory allegations.