A regional council is trying to have JetGo permanently grounded over a long-running debt dispute.
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The airline, which runs flights out of Albury, was the subject of a request from Dubbo Regional Council to wind up the airline, according to the Australian Securities and Investments Commission. A hearing was set down for the Supreme Court next month.
Managing director Paul Bredereck said the legal stoush wouldn’t affect customers outside the region.
“To be clear this is not insolvency action,” Mr Bredereck said.
“It is merely an application attempting to bully JetGo into paying a disputed account.”
JetGo commenced operations in and out of Dubbo in 2015 after two years of negotiations between the company and the former Dubbo City Council.
Dubbo mayor Ben Shields said JetGo’s claims contained a number of ‘factual errors’ and the matter was being handled appropriately.
It is believed the issues have arisen over an unpaid debt.
