Bonza was warned weeks before the massive cancellations, which they claim were unexpected.

Bonza, the budget airline, recently faced a major setback when it received default notices from the company that owns its planes, AIP Capital. These notices, which were issued on April 17, required Bonza to immediately stop all operations and keep its planes grounded. However, despite these notices, Bonza continued selling tickets for the next 12 days before finally cancelling all flights without any prior notice. This sudden and unexpected turn of events left thousands of customers stranded and in a state of confusion.

In light of this situation, Hall Chadwick was appointed as the administrators for Bonza on Tuesday. They revealed that the airline did not foresee having its aircraft seized, despite receiving the default notices. According to a statement from the administrators, the lessors of the aircraft leased to Bonza issued notices terminating their leases on April 29, 2024, at 11:51 pm AEST. This was a major blow to the company, as it not only had to ground its planes but also stand down most of its roughly 150 employees due to lack of funds.

As a result of the sudden cancellations, more than 3000 passengers were left stranded and had to find alternate flights with other airlines. Federal Transport Minister Catherine King expressed her disappointment at the situation and revealed that discussions between Bonza and AIP were ongoing, with no immediate resolution in sight. The administrators also stated that the ongoing discussions and the grounded planes have resulted in a lack of cash flow, making it impossible for them to resume operations or issue refunds to customers.

The administrators are currently in daily meetings with all parties involved, including the lessors, in an attempt to find a solution. However, until a resolution is reached, they are unable to recommence full operations or provide refunds to customers. This has also led to the majority of the company's employees being stood down, further adding to the uncertainty surrounding the future of Bonza.

Despite repeated attempts to find out the current financial position of Bonza, Hall Chadwick has been unable to provide any details. They have also reiterated their message from yesterday that customers should not expect to receive refunds anytime soon. In the meantime, they have advised customers to contact their financial institutions for available options and to consider reaching out to their insurance providers if they have travel insurance for their bookings.

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