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Russia May Stop Navigational Service For CIS Airlines

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  • Russia May Stop Navigational Service For CIS Airlines

    RUSSIA MAY STOP NAVIGATIONAL SERVICE FOR CIS AIRLINES

    30-09-2004 19:31
    RIA Novosti

    MOSCOW, September 30 (RIA Novosti) - On October 1, Russia may stop
    navigational service in Russia for CIS countries' airlines because
    of the airlines' debts, the Russian Transportation Ministry's press
    service reported.

    "The Russian side raised the question of Armenia, Georgia, Kazakhstan,
    Ukraine and other CIS countries' airlines' debts for navigational
    service during flights through the Russian Federation's territory
    more than once," the ministry's press release said.

    On September 3, 2004, the main center for planning and regulating air
    traffic officially notified the CIS countries' air authorities that
    on October 1, 2004, it would stop providing navigational services
    for their airlines in Russia if they do not pay off their debts,
    the press release said.

    The Transportation Ministry noted that this was not the first
    notification. "The Russian side believes that the issue of paying
    off the debts by bankrupt airlines that have stopped flying should be
    considered by the inter-governmental commissions on cooperation with
    the given countries," the press release said, "while the problem of
    the debts of the airlines that continue to fly should be considered
    by the aviation authorities of the sides. The biggest difficulties
    may be from bankrupt airlines that have stopped flying. In a number of
    cases, there are grounds to assert that the companies were deliberately
    bankrupted to avoid paying debts for navigational service."

    The ministry said that under the inter-governmental agreements on
    air traffic between the Russian Federation and Armenia, Georgia,
    Kazakhstan and Ukraine, the airlines whose planes fly along the agreed
    upon routes are appointed by the governments of the sides.

    The ministerial statement offers CIS airlines debt statistics.
    Thus, Armenian companies flying via and within Russia owe $5,527
    for navigation services, and companies who have by now terminated
    activities, $2,681,544.

    Russian and Armenian air authorities met at the negotiation table,
    September 9. Armenia acknowledged the debt, and said it was willing
    to join hands with the creditor, and together grope for ways to settle
    the debt. Sixteen Georgian-based companies who no longer have flights
    via Russia are owing more than $3.6 million fir navigation alone-a
    stale debt of 1994-2001. Russian authorities appealed to Georgia on
    the issue four times this month alone-all to no avail. The requests
    stayed unanswered, points out the Transport Ministry.

    Kazakh airlines who have terminated flights owe $5,515,783 for
    1994-2001 alone. The government-authorised Kazakhstan Aue Zholy Co. is
    the biggest debtor, with $3,559,005.

    An official reply has come from Kazakh air authorities, who say they
    are willing to settle the issue together.

    Ukrainian airlines who are making flights in and via Russia owe a
    token $251.96 for navigation services. 37 companies who have terminated
    such flights, on the contrary, are more than five million dollars in
    debt for 1994 through last year. Ukrainian Airlines accounts for 4.5
    million of the lump.

    Ukraine's State Air Transport Department has taken the obligations
    upon itself, and drawn a payment schedule. Payments never started,
    however. A bilateral conference of September 20-22, 2004, acknowledged
    the debt and drew a pattern to reschedule it, reports Russia's
    Transport Ministry.
    From: Baghdasarian
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