REGIONAL airline JetGo announced on Friday that it would be entered into voluntary administration and temporarily suspending all scheduled flights.
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Two JetGo flights to Brisbane were scheduled to depart from Albury this weekend, one on Saturday at 4:50pm, the other on Sunday at 10:30am.
Jonathon McLeod and Bill Karageozis from Brisbane-based insolvency service McLeod Partners have been appointed as administrators.
A hotline for passengers already booked onto JetGo flights has been opened, 1300 659 116.
Mr McLeod also said in a statement that passengers should consider contacting their credit card provider to assess options for a refund.
The announcement came after it was revealed Dubbo Regional Council had commenced legal action against the operator regarding unpaid debt.
Albury mayor Kevin Mack said in a statement that he was disappointed to hear the airline had been placed into voluntary administration.
“AlburyCity is aware JetGo has entered into voluntary administration and that administrators have been appointed,” the statement read.
“JetGo has been providing an important and valued service to residents and visitors to Albury for almost two years with more than 28,500 passengers flying to Brisbane and more than 4,000 to and from the Gold Coast since the service was introduced in June last year, so council is very disappointed to learn that all of the airline's regular passenger flights have been suspended.
“Council will be in touch with the administrator as soon as possible to establish whether flights will resume.
“While we understand the uncertainty will be distressing to some passengers, especially those who have booked flights on the airline, council will do all it can to attract and retain valued air services to our community.”
The uncertain future of the airline could prove costly for tourism operators in the region, particularly in Falls Creek and Mt Hotham.
JetGo announced in March last year that the Albury to Brisbane service would become a daily one.
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