Monarch’s creditors repaid in full, says KPMG
THE TAXMAN and employees of collapsed airline Monarch have got back everything they were owed, according to administrator KPMG.
It said that it had paid £2.8million to HM Revenue & Customs, former workers and other preferred creditors of the stricken airline last month.
Monarch went under in October 2017, with the loss of some 1,800 jobs. Its failure left around 100,000 people stranded, forcing the Government to launch the biggest-ever peace-time repatriation.
Greybull bought Monarch for £1 in 2014 from the Mantegazza family of Switzerland. When it collapsed, the airline owed Greybull £157 million, of which £60 million has been repaid by KPMG, from the sale of Monarch’s takeoff and landing slots at Gatwick and Luton airports to British Airways and Whizz Air respectively.
On Friday Monarch Aircraft Engineering (MAE) which provided maintenance services to the collapsed airline, went under. It employed
553 people, of which around 250 were made immediately redundant.
MAE had sought out other airlines, such as easyJet and Norwegian, to build up its customer base. However, it had inherited the debts of its former parent and its use of an insolvency process to try to cut them in October led to clients fleeing, and, ultimately, its failure.