newstodate.aero
Nov 19, 2012 (newstodate): The EU Commission DG Competition has received two complaints against the Latvian carrier airBaltic from BAS, Baltic Aviation Systems, a former shareholder in the carrier, and Inga Piterniece, a former BAS board member.
In both cases, the former shareholders have complained about the actions taken by the shareholders (read: the Latvian state) that subsequently led to re-shaping the airline and firing the earlier top-executive and main shareholder in BAS, Bertolt Flick and reinstating a new management in the now nearly 100 percent state-owned owned.
In a statement on the issue, airBaltic refers to the positive results from the new strategy and the airBaltic ReShape business plan, but acknowledges that the complaints serve as a reminder that the past issues have to be clarified.
-For this, we have established a team of experts and advisers to tackle the issues, raised as a result of this complaint, the statement reads.
-Our advisers have brought it to our attention that the European Commission might potentially take next steps and seek an in-depth evaluation of actions in the last quarter of 2011 taken by the state as one of the shareholders in airBaltic. In case that step is taken, airBaltic will raise serious concerns whether BAS as complainant has given an entire and complete picture to the Commission, airBaltic's statement reads.
In November 2011, the Latvian state took over the stake in airBaltic formerly held by the minority shareholder, Baltic Aviation Systems.
The move was reportedly prompted by the collapse of the Latvian bank Krajbanka that was a main financial source behind BAS that had earlier landed an agreement with the state to inject fresh capital into airBaltic in proportion to their respective stakes.
Prior to that, BAS held 47 percent and the state 53 percent of the stake in airBaltic.
Baltic Aviation Systems is equally owned by Bertolt Flick, former airBaltic CEO, and the Bahamas-registered Russian investment fund Taurus Asset Management Fund Limited, owned by a Russian national, Stanislav Kovtun.
In both cases, the former shareholders have complained about the actions taken by the shareholders (read: the Latvian state) that subsequently led to re-shaping the airline and firing the earlier top-executive and main shareholder in BAS, Bertolt Flick and reinstating a new management in the now nearly 100 percent state-owned owned.
In a statement on the issue, airBaltic refers to the positive results from the new strategy and the airBaltic ReShape business plan, but acknowledges that the complaints serve as a reminder that the past issues have to be clarified.
-For this, we have established a team of experts and advisers to tackle the issues, raised as a result of this complaint, the statement reads.
-Our advisers have brought it to our attention that the European Commission might potentially take next steps and seek an in-depth evaluation of actions in the last quarter of 2011 taken by the state as one of the shareholders in airBaltic. In case that step is taken, airBaltic will raise serious concerns whether BAS as complainant has given an entire and complete picture to the Commission, airBaltic's statement reads.
In November 2011, the Latvian state took over the stake in airBaltic formerly held by the minority shareholder, Baltic Aviation Systems.
The move was reportedly prompted by the collapse of the Latvian bank Krajbanka that was a main financial source behind BAS that had earlier landed an agreement with the state to inject fresh capital into airBaltic in proportion to their respective stakes.
Prior to that, BAS held 47 percent and the state 53 percent of the stake in airBaltic.
Baltic Aviation Systems is equally owned by Bertolt Flick, former airBaltic CEO, and the Bahamas-registered Russian investment fund Taurus Asset Management Fund Limited, owned by a Russian national, Stanislav Kovtun.