MyAirline due to submit written representation - Mavcom

26 Oct 2023 05:41pm

MyAirline passengers affected by the company's sudden closure. Bernama FILE PIX

KUALA LUMPUR - The Malaysian Aviation Commission (Mavcom) has commenced its investigation on MYAirline Sdn Bhd and had issued a show cause letter to the airline on Oct 13, 2023 following the airline’s operational suspension a day earlier.

The commission said the show cause letter specified MYAirline's failure to fulfil its Air Service Licence (ASL) conditions, including unsettled employee salaries and benefits.

"MYAirline has been ordered to submit a written justification by Oct 27, 2023," it said in a statement today.

It said that upon receiving MYAirline’s written representation, Mavcom will evaluate whether the low-cost carrier should continue as an ASL holder, or whether the ASL should be suspended or revoked pursuant to section 43(1) of the Malaysian Aviation Commission Act 2015 [Act 771].

The commission then will provide additional updates to the public within one week, it said.

The civil aviation regulator said it was also investigating MYAirline for other possible breaches of its ASL conditions.

"With regard to refunds to the impacted consumers, Mavcom has also engaged various agencies, including Bank Negara Malaysia, to seek all possible avenues to refund affected consumers and the commission will provide additional updates on refunds to the public in due course," it added.

Meanwhile, Mavcom said it has set up a Task Force comprising representatives from the commission, the Legal, Regulatory & Dispute Resolution Committee and Consumer Protection Committee.

The Task Force is mandated to look into the affected passengers’ refunds and to provide recommendations on the way forward, it said.

"While the existing licensing approval framework that applies to all new and existing licence holders is comprehensive, the Task Force, among others, will also be reviewing the framework for enhancement," it added.

On Oct 12, MYAirlines made a surprise announcement that it had suspended its operations effective on the same day, citing financial pressure as the reason. - BERNAMA