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Ryanair refuses to settle its debt with Latvijas Gaisa satiksme

Alla Petrova, BC, Riga, 25.03.2011.Print version
The Irish low-fare airline Ryanair still has not settled its debt with the air navigation services company Latvijas Gaisa satiksme (LGS), as LGS informed the business information portal

LGS has turned to the Administrative Regional Court with an LVL 262,917 claim against Ryanair over the airline's debts for LGS services, informs LETA.


LGS emphasizes that Ryanair’s debt increases with each passing day.


LGS's board chairman, Davids Taurins, previously admitted to that most airlines are paying their bills regularly, with the exception of Ryanair.


"If Ryanair will not settle its debt, the board will use every legal instrument at its disposal to collect," pointed out Taurins.


LGS posted LVL 928,136 in profit last year.


It is believed that Ryanair has not been paying for LGS services in accordance with a secret agreement that the airline signed with then-Transport Minister Ainars Slesers (For A Good Latvia).


According to unofficial information, Ryanair believes that all payments it must pay in Riga are included in the Riga Airport tax, which the airline pays for every passenger leaving the airport. Therefore, Ryanair believes that it is the airport that must pay for LGS services.

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