Air Namibia planes sold dubiously, suitors claim
Aviation partners Progress Aviation and AB Airlines have accused Air Namibia liquidators Bruni and McLaren of acting unethically.
This after the liquidators allegedly refused to view bids the partners made for two Embraer 135 jets they intended to buy following the airline’s demise last year.
Further allegations are that aviation company Fly Namibia (formerly West Air) was able to acquire the aircraft for next to nothing, despite previously not showing any interest.
In a letter to finance minister Iipumbu Shiimi, Progress Aviation and AB Airlines said the liquidators acted dishonestly. Bruni and McLaren are said to have held off offers from other companies, and instead sold the aircraft to Fly Namibia below market price.
Namibian Sun understands Fly Namibia offered to pay N$44.9 million, way below the market value of the Embraers, which have a price tag of N$60.4 million.
Concerns over conduct
“We at Progress Aviation and AB Airlines are extremely concerned about the unfair and dishonest treatment we received from the liquidators during the bidding process,” the letter read.
The partners said they had engaged Air Namibia acting CEO Stanley Kariko, who advised that a trip be made to Namibia to inspect the aircraft on offer in September.
“We had been informed that several bids had been submitted but rejected. Therefore, they suggested we fly in to view the fleet and its terms and submit a bid immediately.”
When company representatives arrived in Windhoek on 7 November, Kariko allegedly informed them that the planes had been sold, and referred them to David Bruni of Bruni and McLaren.
‘We complied with conditions’
Progress Aviation and AB Airlines added that they had complied with all requirements set out by Bruni and McLaren for the purchase of aircraft, but were not treated fairly with regards to the purchase.
The partners further requested proof from the liquidators that the aircraft were sold, but have yet to receive a favourable response.
“We requested that the liquidator provide evidence of the bidder’s payment and the process used as we were advised to travel to Namibia and submit our bid as per the liquidator’s requirements, as this was open to all stakeholders,” they said.
“Consequently, we feel that we were not treated with honesty, transparency or fairness during this process. We respectfully request that [Shiimi’s] office provide us with a fair bidding process.”
Government hands tied
The minister yesterday said government had no means to influence the outcome of the liquidation process.
“As a shareholder, the government is not allowed by law to interfere with the process. That is the responsibility of the Master of the High Court, who appoints liquidators,” Shiimi said.
Bruni would not comment on the matter and referred Namibian Sun to Kariko, while Fly Namibia CEO André Compion denied allegations that his company acquired the jets in a deal involving Air Namibia’s liquidators.
Kariko referred Namibian Sun back to Bruni, saying he was conflicted.
This after the liquidators allegedly refused to view bids the partners made for two Embraer 135 jets they intended to buy following the airline’s demise last year.
Further allegations are that aviation company Fly Namibia (formerly West Air) was able to acquire the aircraft for next to nothing, despite previously not showing any interest.
In a letter to finance minister Iipumbu Shiimi, Progress Aviation and AB Airlines said the liquidators acted dishonestly. Bruni and McLaren are said to have held off offers from other companies, and instead sold the aircraft to Fly Namibia below market price.
Namibian Sun understands Fly Namibia offered to pay N$44.9 million, way below the market value of the Embraers, which have a price tag of N$60.4 million.
Concerns over conduct
“We at Progress Aviation and AB Airlines are extremely concerned about the unfair and dishonest treatment we received from the liquidators during the bidding process,” the letter read.
The partners said they had engaged Air Namibia acting CEO Stanley Kariko, who advised that a trip be made to Namibia to inspect the aircraft on offer in September.
“We had been informed that several bids had been submitted but rejected. Therefore, they suggested we fly in to view the fleet and its terms and submit a bid immediately.”
When company representatives arrived in Windhoek on 7 November, Kariko allegedly informed them that the planes had been sold, and referred them to David Bruni of Bruni and McLaren.
‘We complied with conditions’
Progress Aviation and AB Airlines added that they had complied with all requirements set out by Bruni and McLaren for the purchase of aircraft, but were not treated fairly with regards to the purchase.
The partners further requested proof from the liquidators that the aircraft were sold, but have yet to receive a favourable response.
“We requested that the liquidator provide evidence of the bidder’s payment and the process used as we were advised to travel to Namibia and submit our bid as per the liquidator’s requirements, as this was open to all stakeholders,” they said.
“Consequently, we feel that we were not treated with honesty, transparency or fairness during this process. We respectfully request that [Shiimi’s] office provide us with a fair bidding process.”
Government hands tied
The minister yesterday said government had no means to influence the outcome of the liquidation process.
“As a shareholder, the government is not allowed by law to interfere with the process. That is the responsibility of the Master of the High Court, who appoints liquidators,” Shiimi said.
Bruni would not comment on the matter and referred Namibian Sun to Kariko, while Fly Namibia CEO André Compion denied allegations that his company acquired the jets in a deal involving Air Namibia’s liquidators.
Kariko referred Namibian Sun back to Bruni, saying he was conflicted.
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