Panama’s Cargo Three secures tentative US service consent

The US Department of Transportation (DOT) has granted an exemption and, tentatively, a foreign air carrier permit (FACP) to Cargo Three (CTW, Panamá City Tocumen Int’l).

The DOT found that the Panamanian cargo specialist is financially and operationally qualified to launch its proposed services to the United States, despite minor concerns related to its ownership and an ongoing debt dispute with Canadian lessor Matata Group.

In terms of the airline’s ownership, Cargo Three said that it is 51%-owned by Luis Fernando Paredes Quintero, a citizen of Panama while Julio Marquez owns the remaining 49%. Marquez, who is the President and Chairman of JMB Aviation Group, was identified in the application as a US citizen but is, in fact, a dual US and Venezuelan citizen.

“Cargo Three acknowledges the non-homeland involvement in its ownership and requests, to the extent necessary, that the Department waive its homeland ownership and control policy. In that regard, in spite of the fact we are unable to find that Cargo Three is owned by homeland nationals, we find that a waiver of our ownership and control policy is warranted in the circumstances presented,” the DOT said.

Separately, the airline’s ongoing dispute with Matata Group was found to be a private civil matter that does not undermine the basis for awarding the authority. The lessor filed an objection to Cargo Three’s application in June 2021, indicating that there was an outstanding Canadian court ruling against the airline for the repayment of USD251,194.02 in overdue lease obligations dating back to 2013, which the airline reportedly refuses to discuss with the creditor. Cargo Three responded by underlining the private nature of the claim that arose under its previous ownership and stressed that the amount due would not compromise its financial fitness.

Cargo Three, at that time doing business as PanAir Cargo, applied for its FACP in 2013. The carrier was then owned by Blanca Vasquez, a Panamanian citizen (with a 51% stake), and Daniel Rangel, a Venezuelan citizen (49%). The application was never fully processed and remained dormant through May 2021, when, under new ownership, Cargo Three updated the docket. The carrier received its Air Operator’s Certificate (AOC) in Panama in late April 2021. It does not have any active aircraft, although its original plans foresaw leasing two A300B4(F)s from its active Venezuelan sister carrier Transcarga International Airways and the addition of a third in-house unit of the type.

Besides Cargo Three and Transcarga International, JMB Aviation Group also owns Spain’s Aura Airlines, Florida’s SkyWay Enterprises and Island Wings, and Venezuelan virtual leisure carrier SkyAtlantic Travel.