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MAVCOM holds MYAirline liable to refund customers following suspension

MAVCOM holds MYAirline liable to refund customers following suspension

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Following MYAirline’s announcement regarding the suspension of its operations effective 12 October 2023 until further notice, the Malaysian Aviation Commission (MAVCOM) is holding MYAirline liable to refund consumers who have purchased tickets with the airline but are unable to travel. 

Additionally, it has put in place dedicated hotlines and channels to assist consumers affected by this sudden suspension. It has instructed the airline to immediately manage affected consumers which include amongst others, notifying them of the suspension, and publishing the said notification in the airline’s available communication channels. 

Don't miss: MYAirline suspends ops due to financial pressures

MYAirline has also been instructed by MAVCOM to immediately discontinue the sale and booking of flights from all booking platforms until further notice.

In a statement, MAVCOM stated that it is in close communication with MYAirline in addressing this issue. Meanwhile, it is also currently investigating the airline based on internal reviews and complaints received regarding the airline’s unpaid statutory payments to its employees, amongst others. 

The statement concluded by saying that MAVCOM will provide further developments with regard to MYAirline’s operations in due course.

MYAirline said in a statement that it came to the decision to suspend operations due to significant financial pressures. These pressures “have made it necessary to suspend operations pending the shareholder restructuring and recapitalisation of the airline", it said. 

In a statement from the board of directors, MYAirline said, "We deeply regret and apologise for having to make this decision as we understand the impact it will have on our loyal passengers, dedicated employees and partners. We have worked tirelessly to explore various partnership and capital raising options to prevent this suspension. Unfortunately, the constraints of time have left us with no alternative but to take this decision".

This comes shortly after MYAirline’s CEO, Rayner Teo stepped down from his role, citing health considerations. Teo had helmed the company since its launch in December 2022. 

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