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Creditor crunch

Bonza administrators face 10,000 emails, telephone queries

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The news: Lawyers for Bonza Airlines' administrators Hall Chadwick has said the company has received more than 10,000 emails and phone inquiries since it went into voluntary administration.

The context: Since it was flagged earlier in the week that "upwards of 20,000" participants could join a virtual meeting to decide on the company's future on Friday, barrister James Hutton SC said on Thursday that Hall Chadwick had so far identified 1,888 proofs of debt or proxies, bringing the number of potential voters far below previously expected figures.

In a hearing before Federal Court of Australia Judge Elizabeth Cheeseman, barrister Hutton said the company plans to allow creditors the opportunity to submit questions during the meeting by way of a Zoom chat function.

Those questions will not be answered on Friday, but responded to via an FAQ process following the meeting. Questions answered in the meeting will be confined to those submitted in writing in advance.

Bonza cancelled all flights on 30 April, when the company entered voluntary administration.

The company's acceptance of real-time payments since November via fintech Monoova has created risks for customer's looking for refunds.

If a merchant cannot pay when it fails to deliver a product or service, customers can usually rely on reimbursement via the banks that issued their credit or debit cards used for payments, but direct payments lack an intermediary to be able to refund or replace a purchase.

The source: Federal Court of Australia


By Laurel Henning