Freedom Air gets 90-day reprieve

Thursday, September 19, 2013

CPA board chair disappointed after colleagues refused to hear legal counsels opinion

Freedom Air can continue using Commonwealth Ports Authority facilities for its operations despite having $1.23 million in outstanding arrears incurred the past three years.

This after the Commonwealth Ports Authority board of directors yesterday delayed the enforcement of the eviction notice supposedly due today, Sept. 19.

By a vote of 4-3, the board gave Freedom Air a 90-day extension to settle its arrears with CPA. Board vice chair Benigno Sablan and members Barrie Toves, Fermin Sakisat, and Michael San Nicolas voted in favor of the extension, while chair Jose Lifoifoi and members Thomas Kiyu Villagomez and Frances Mafnas opposed it.

Lifoifoi in particular was disappointed that majority of the board thumbed down his request to have them hear first the opinion of CPA legal counsel Robert Torres before conducting the voice vote.

So as it stands now, Freedom Air has until Dec. 31, 2013 to settle its unpaid obligations to CPA, especially the passenger facility charges as required by the U.S. Federal Aviation Administration. The board said failure to do would force them to kick out the company from its premises, with finality.

CPA board last August unanimously voted to terminate and issue an eviction notice to the airline due to its long overdue account with the ports authority. It was earlier revealed that Freedom Air, in many occasions, was issued termination notices which none were actually implemented.

Minutes before yesterdays board meeting, Freedom Air general manager on Saipan Dennis Cruz was seen in the gallery but left as soon as the meeting started.

After adopting the days agenda, Sablan immediately made a motion to stay the eviction notice for Freedom Air and to delay its enforcement for 90 daysor until the end of the yeara motion immediately countered by Villagomez who described the 90-day recommended extension as too much.

Originally posted here:
Freedom Air gets 90-day reprieve