Commission decision on proposal for a collective Bond
In December 2010, the Commission for Aviation Regulation invited interested parties to submit to it by 14 January 2011 any proposals for a collective (travel trade) bond, in order that by 31 January 2011 the Commission could adjudicate on whether the requirements of the 1982 Transport Act were satisfied.
Key to the Commission’s timetable was that licence applicants should know, in advance of the deadline for licence renewals (14 February 2011), whether the Commission had approved any collective bond.
As of yesterday, 31 January 2011, being the deadline for its decision on this matter, the Commission has not been provided with the information that would allow for approval of a collective bond under the terms of the 1982 Act.
Accordingly, travel trade licence applicants now have only the following three bonding options (including a combination of these options) to support their licence applications:
(i) a cash bond deposited with the Commission;
(ii) a guarantee with a bank or an insurance company;
(iii) a guarantee of such other type that is acceptable to the Commission.