Money-strapped Malaysian finances service MyAirline abruptly suspends operations, stranding passengers

KUALA LUMPUR, Malaysia (AP) — Malaysian finances service MyAirline abruptly suspended operations Thursday, citing monetary pressures lower than 11 months after it took to the skies. The sudden announcement on social media caught many unexpectedly and left indignant passengers stranded on the airport.

The airline apologized for the “extraordinarily painful choice” however stated “important monetary pressures” made it essential to quickly halt operations pending shareholder restructuring and recapitalization of the corporate.

“We now have labored tirelessly to discover varied partnership and capital elevating choices to forestall this suspension. Sadly, the constraints of time have left us with no different however to take this choice,” its board of administrators stated within the assertion.

The transfer got here simply days after the airline stated it was in superior levels of finalizing a strategic partnership. Native media reported that the suspension signaled that these talks could have collapsed.

The airline started flights final December with a fleet of 9 plane that flies to home locations and Thailand’s capital, Bangkok. It’s owned by businessman Allan Goh Hwan Hua. Simply two days in the past, CEO Rayner Teo, who has a 2% stake within the service, stepped down citing well being causes.

The Malaysian Aviation Fee instructed MyAirline to right away halt gross sales and bookings of flights, and stated refunds should be given. It stated it was investigating the airline over complaints that workers’ salaries had been unpaid amongst different points.

MyAirline made the announcement on social media earlier than daybreak on Monday, after passengers on early flights had already checked in on the terminal. Offended vacationers took to social media to criticize the service for the sudden announcement that left them stranded.

The service had 19 flights scheduled for Thursday. Malaysia Airways, low-cost service AirAsia and Batik Air introduced reductions and particular fares to assist MyAirline passengers impacted by the suspension.