By DayakDaily Team
KUCHING, April 26: In the wake of MyAirline’s license revocation by the Civil Aviation Authority of Malaysia (CAAM) effective April 15, the airline is now banking on securing new investors to pave the way for its operational revival.
According to a news report by The Edge yesterday (April 24), the airline company will have to reapply for an air operator’s certificate (AOC) and air service license (ASL) if it intends to restart operations, a process which can take a long time.
A spokesman from MYAirline confirmed that CAAM revoked the airline’s AOC on April 15 but expressed optimism about securing a new investor to revive its operations.
“We are in talks with several interested investors. We are handling the staff issues internally. We will issue an announcement in due time,” the spokesman told The Edge.
MYAirline abruptly halted operations in October 2023 while citing financial pressure just months after commencing flights, yet both Malaysian Aviation Commission (Maycom) and CAAM maintained that there were no signs of prior financial or operational distress.
In fact, just three days before MYAirline decided to suspend its operations indefinitely, CAAM had approved the airline’s air safety, security, and operational proficiency for another two years.
Following MYAirline’s sudden decision to suspend operations, CAAM temporarily suspended its AOC for 90 days until January 16, subsequently extending the suspension for an additional three months until April 14, 2024.
Notably, both ASL and AOC are essential requirements for airlines to operate scheduled air passenger and cargo services, and MYAirline’s ASL expired on November 14, 2023.
“There will be no more extension (of MYAirline’s AOC). Its AOC was revoked on April 15 under Regulation 193 of the Malaysia Civil Aviation Regulations 2016.
“However, it is keeping the required post holders for reapplication,” CAAM chief executive officer (CEO) Datuk Captain Norazman Mahmud told The Edge, adding that MYAirline’s interim accountable executive is Datuk Seri Azharuddin Abdul Rahman, former director general of the Malaysian Civil Aviation Department and former chairman of CAAM.
MYAirline no longer has any aircraft registered with CAAM, Norazman said, with a total of 10 aircraft previously under MYAirline’s management.
The airline’s financial difficulties surfaced last year following the sudden withdrawal of a potential investor, leading to its operational shutdown, leaving approximately 125,000 passengers who had purchased RM22 million worth of tickets for scheduled flights from October 12, 2023, to March 31, 2024, stranded; in addition to the welfare of the airline’s 900 employees impacted.
In January this year, MYAirline was reported to have secured a potential investor from the Middle East to rejuvenate the low-cost carrier. A Bernama report, citing sources, indicated that MYAirline had finalised a sale and purchase agreement with this investor in late December 2023; however, by February, the investor had opted not to proceed with the investment in the carrier. — DayakDaily
