MYAirline Ordered to Pay $4 Million in Overdue Airport Charges by Malaysian Court

Malaysia’s High Court has ruled that the now-defunct MYAirline (MYM, Kuala Lumpur Subang) must pay MYR17.7 million (USD4.04 million) in overdue airport charges, according to Buletin TV3. The court’s decision, delivered on August 16, mandates the airline to pay MYR9,111,402.94 (USD2,081,000) to Malaysia Airports (Sepang) Sdn Bhd and MYR8,636,150.08 (USD1,972,000) to Malaysia Airports Sdn Bhd. Additionally, MYAirline is required to cover MYR40,000 (USD9,140) in costs, including MYR30,000 (USD6,850) related to a failed attempt to dismiss the cases.

The claims from Malaysia Airports and Malaysia Airports (Sepang), both subsidiaries of Malaysia Airports Holdings, stem from unpaid fees incurred before MYAirline ceased operations. These claims include MYR10,863,478 (USD2,484,500) for passenger service and security charges, MYR5,445,555 (USD1,245,400) for landing fees, MYR176,018 (USD40,250) for parking fees, MYR655,760 (USD149,975) for aerobridge fees, and MYR267,367 (USD61,150) for check-in counter fees, plus MYR339,374 (USD77,600) in late payment charges.

The claim from Malaysia Airports Sdn Bhd relates to MYAirline’s use of KLIA Terminal 2 from its launch at the end of 2022 until its collapse in October 2023. Malaysia Airports (Sepang) sought payment for facilities and aeronautical fees at various Malaysian airports, including Kota Kinabalu, Kuching, and Langkawi.

MYAirline’s attempt to contest the claim on the grounds that the Malaysian Aviation Commission’s dispute resolution mechanisms were not utilized was unsuccessful. The airline provided no defense to the claims, leading the court to issue a summary judgment in favor of the airport operators.

Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com