Fly540 has hit back at the International Association of Travel Agents (IATA) after being suspended from participating in its automated ticketing system saying it is witchhunt and bullying. The company has vowed to ignore the ban and continue with operations.
IATA did not disclose the reason for suspending the carrier but cited guidelines relating to failure to honor payments owed to agents through the billing and settlement plan. This meant that those who had already booked flights with the airlines could not fly.
Fly540 through its official Tweeter feed said IATA’s issues revolve around the bank settlement Plan used by agents to pay. According to IATA’s December 30 letter, all accredited travel agents were directed to suspend all Fly540 ticketing activities.
The airline noted that it has been out of this system for nearly two years. “..and refuses to be bullied by IATA to pay bills for services not provided,” Fly540 added that it continues operations as normal.
Under the Resolution, IATA can order the ceasing of issuing of tickets of an airline if it owes payments via the BSP, when it ceases scheduled passenger operations, or when it runs into bankruptcy.
“BSP travel agents must immediately suspend all ticketing services on behalf of Fly540, including the use of all automated systems for processing of refunds,” said IATA in a seemingly angry letter.
With the directive from IATA, passengers who had already booked flights with Fly540 will not be able to fly but wait for the travel agents to agree with the airline on the refunds.
Fly540 is among Kenya’s low-cost airline that operates both locally and across the East African region. Last year, it was among the airlines that were blacklisted from flying into Tanzania following a row between Nairobi and Dar es Salaam.
READ: IATA Bans All Fly540 E-ticket Booking