'Moral obligation' of Monarch owners [...].
'Moral obligation' of Monarch owners THE private equity owner of failed airline Monarch has agreed it has a "moral obligation" to help defray the cost of repatriating customers.
Greybull Capital said it had affirmed in a letter to the chairman of the Transport Select Committee that any stakeholder who finds themselves in-pocket after the administration process should contribute to others. It comes after Transport Secretary Chris Grayling said Greybull should pay if it profited from the firm going into administration.
In a statement, a Greybull spokesman said: "We concur wholeheartedly with the Secretary of State's statement that any stakeholder who finds themselves in-pocket at the end of the administration process would be under a moral obligation to contribute to other stakeholders. This would include helping to defray the costs incurred by the Department for Transport in repatriating Monarch customers, first discussed in principle with the Secretary of State and his department several weeks ago."
The Civil Aviation Authority put on 567 flights which brought nearly 84,000 passengers back to the UK after the travel company went into administration on October 2. The Government said previously it hoped to recoup some of the cost from credit card companies and tour operators whose customers were booked on Monarch flights.
As Monarch's main secured creditor, Greybull - run by brothers Marc and Nathaniel Meyohas and Richard Perlhagen - has first call on any cash realised from asset sales by administrator KPMG, which is expected to recoup millions from selling the airline's landing slots.
| Transport Secretary Chris Grayling