Hong Kong Express banned from adding new aircraft, flights or destinations
Penalty handed down over October holiday cancellations is harshest meted out by aviation authority in 20 years
Budget airline Hong Kong Express is banned from taking delivery of new aircraft and cannot add flights or destinations to its network, the city’s aviation authority announced on Thursday.
The Civil Aviation Department (CAD) approved the punishment, its harshest in 20 years, after the airline cancelled dozens of flights just days before a major Chinese holiday week in October, leaving some 2,000 travellers high and dry.
A report by the airline which was reviewed by the city’s aviation regulator concluded there had been lapses in the firm’s internal management and corporate governance, which included poor human resources planning, a lack of effective internal communication and an underestimation of the impact of the incident.
A CAD spokeswoman said the penalty was the harshest possible, short of revoking an air operating certificate – the licence required to fly. The sanctions would only be lifted once authorities were satisfied steps had been taken to prevent a repeat incident, she said.
Some 20 years ago a helicopter operator’s certificate was suspended for around three months in light of serious safety shortcomings.