Reports reveal Canada Jetlines owes CAD$11.8 million and remaining shareholders were actively looking to raise the capital in order to revive the grounded carrier.
The bankrupt airline has now abandoned its search for new creditors and has begun liquidating assets to repay outstanding debts.
As previously reported, Jetlines on 15AUG stated it was temporarily ceasing airline operations and seeking creditor protection.
The airline's board of directors initially portrayed the shutdown as a temporary measure. However, on 11SEP, Jetlines voluntarily filed for bankruptcy and appointed BDO Canada Limited as the trustee to oversee the liquidation process.
TICO said Jetlines terminated its TICO registrations on 11SEP 2024, releasing a closure advisory on 18SEP.
"If you had a future package booking with Canada Jetlines Vacations, please monitor your credit card statement for the refund. This applies to packages purchased either from Canada Jetlines Vacations directly or through a TICO-registered travel agency or website," TICO stated.
"If you have any questions or require clarification after reviewing this Closure Advisory, please contact TICO. We can review your circumstances and offer guidance on whether you may have an eligible claim against the Compensation Fund."
Jetlines launched its first flight in September 2022, flying a few dozen flights per month from Toronto to Miami and Orlando, Fla., as well as Cancun, Mexico.
The CBC said Jetlines lost $14.2 million over the 12 months between March 2023 and March 2024, despite earning a profit in one of the quarters, according to financial filings.
According to reports, Jetlines' creditors are scheduled to meet on 01OCT.
