Another airline files for bankruptcy, cancels all flights
Although the beginning of 2025 brought optimism about high passenger numbers, the predictions did not come true for every airline.
By September, two Scandinavian airlines, Play and Braathens Aviation, left passengers in different parts of the world in a difficult situation. having to suddenly shut down operations in the midst of high-profile bankruptcies.
At the beginning of the year, Ravn Alaska, Air Belgium and SKS Airways in Malaysia also ceased their operations. Big names such as WizzAir and Qantas Airways have closed their branches in Abu Dhabi and Singapore.
At the end of October, news also emerged that charter airline Verijet had filed for Chapter 7 bankruptcy. The Vero Beach, Florida-based airline was more than $38.7 million in debt and its 60-year-old founder, Richard Kane, was facing a number of lawsuits. died suddenly From a heart attack at the end of September.
As first reported by someone exit overlay The application for private jet space was filed with the 11th circuit of the United States Bankruptcy Court for the Southern District of Florida. The more common Chapter 11 means that, unlike Chapter 7 bankruptcy, the owners do not consider restructuring or seek financial assistance but will move straight to liquidation.
Verijet with its fleet of single-engine Cirrus SF50 Vision jets short-haul flights in different regions of the USA
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The airline also expanded to the Bahamas and other international destinations such as the Dominican Republic, Turks and Caicos Islands and the Cayman Islands in 2023, as part of a meteoric expansion since Kane founded Verijet at the height of the Covid pandemic in 2020.
In 2023, Verijet was recorded as the 13th largest operator of charter and fractional flights in the country. Its $38.7 million liabilities included more than $10.5 million in debt to jet card customers (individuals and companies that charter private jets as part of an hourly or daily fee for a business model commonly used by such operators), as well as additional debts to aircraft lessors, insurance companies, and various creditors.
In November 2024, customer Sam Crigman filed a lawsuit against Verijet in the Eleventh Judicial Circuit of Miami-Dade County after purchasing a 50-hour jet pass for $147,812 in March.
The lawsuit alleged “numerous delays, canceled flights, and numerous excuses for Verijet’s failure to provide flight services.” Since Kane’s death, the carrier has not operated any flights and is unlikely to operate flights in the future. I ask the judge Go directly to liquidation.
