(iWitness News) Bankrupt regional carrier LIAT owes the Government of St. Vincent and the Grenadines EC$12.2 million in airport service charges, landing and other fees, while the government has guaranteed EC$48.7 million on behalf of the airline.
As shareholder, the government owns 11% of the equity in LIAT, as creditor LIAT owes the government airport service charges, landing and other fees $12.2 million.
“The bulk of this relates to airport service charge,” Prime Minister Ralph Gonsalves, who was chair of LIAT’s shareholder government, told Parliament this month.
“They’ve invariably been behind and they will make payments and then they go behind again, you know in accordance with their cash flow. They owe every government in the region,” said Gonsalves, whose government owns 11% of LIAT.
Gonsalves was responding to a question from opposition lawmaker St. Clair Leacock, who is MP for Central Kingstown.