Bonza Airlines Collapse Leaves 60,000 Customers Stranded

A lawyer representing the administrators of budget airline Bonza disclosed that nearly 60,000 customers have been trapped in the company’s collapse. 

The disclosure came during a hearing in the Federal Court of Australia in Sydney, where Barrister James Hutton SC informed Justice Elizabeth Cheeseman that up to 20,000 participants could potentially attend the first creditors’ meeting scheduled for Friday.

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Mr Hutton applied for a hybrid model for the creditors’ meeting, in which 200 people could attend in person, while the others would watch online.

He highlighted the logistical challenges of accommodating such a large number of participants in a physical meeting, likening it to the capacity of a stadium. 

The court learned that among the creditors were 57,933 customers with forward bookings, 323 employees, and 120 trade creditors. 

In response to the collapse of Bonza, the Flight Attendants’ Association of Australia (FAAA) launched an online fundraiser titled “Support Bonza Cabin Crew in Crisis.” 

The initiative aims to aid cabin crew members who have been left in financial distress after being stood down without pay for the entire month of April.

Prime Minister Anthony Albanese said the collapse of the budget airline was symbolic of the challenges within the aviation sector.

“What we have seen over a period of time is that the aviation industry is a really tough industry and we have seen a range over recent decades of cheap airlines form, keep going for a little while, and not last,” he said in an interview with ABC radio.

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