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Dublin-based company sues Hong Kong Airlines over unpaid rent in excess of US$2.9 million

  • Awas Leasing One LLC files lawsuit in High Court over outstanding rent of US$2.925 million over two Airbus planes as of December 29
  • Three weeks ago, another company, Alafco Irish Aircraft Leasing Sixteen, sued the airline for allegedly failing to settle a payment of more than US$34.5 million

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Hong Kong Airlines narrowly avoided going out of business earlier in December 2019. Photo: Winson Wong

Hong Kong’s third largest airline has been hit with another lawsuit over unpaid rent in excess of US$2.9 million after its near collapse earlier this month.

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Hong Kong Airlines was on Monday sued by Awas Leasing One LLC for outstanding rent of US$2.925 million over two Airbus planes as of December 29.

The Dublin-based plaintiff also accused the crisis-hit airline of failing to comply with its grounding notice on December 19, effective the following day.

It is now seeking repayment plus interest, and injunction in respect of the airline’s alleged non-compliance and breach of two leases over the aircraft, signed on April 22, 2016.

Hong Kong Airlines’ financial troubles are far from over as it faces demands to pay creditors. Photo: Winson Wong
Hong Kong Airlines’ financial troubles are far from over as it faces demands to pay creditors. Photo: Winson Wong
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The legal action filed in the High Court came three weeks after another company, Alafco Irish Aircraft Leasing Sixteen, sued the airline for allegedly failing to settle a payment of more than US$34.5 million.

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