While the start of 2025 brought a lot of optimism about high travel numbers, the projections did not pan out for all airlines.
In September, two Scandinavian airlines, Play and Braathens Aviation, stranded travelers in different parts of the world after having to suddenly close operations amid high-profile bankruptcies.
Earlier in the year, Ravn Alaska, Air Belgium and SKS Airways in Malaysia also closed operations. Bigger names like WizzAir and Qantas Airways closed their branches in Abu Dhabi and Singapore.
In late October, news also broke that charter airline Verijet was filing for Chapter 7 bankruptcy. The Vero Beach, Florida-based airline had accumulated more than $38.7 million in liabilities and was facing a series of lawsuits when its founder Richard Kane, 60, died suddenly of a heart attack in late September.
As first reported by an outlet that covers the private jet space, the filing was filed in the 11th Circuit of the United States Bankruptcy Court for the Southern District of Florida. Unlike the more common Chapter 11, Chapter 7 bankruptcy means that owners do not seek restructuring or apply for financial assistance, but will instead head straight into liquidation.
With a fleet of single-engine Cirrus SF50 Vision aircraft, Verijet executed short-haul flights in different regions from the US
Related: Tourists still stranded after airline goes bankrupt and cancels flights
In 2023, the airline also expanded to the Bahamas and other international destinations such as the Dominican Republic, Turks and Caicos and the Cayman Islands as part of very rapid growth since Kane founded Verijet at the height of the Covid pandemic in 2020.
In 2023, Verijet registered as the 13th largest charter and break-up operator in the country. Its $38.7 million in liabilities included more than $10.5 million owed to airline card customers (individuals and corporations that lease private aircraft as part of an hourly or daily rate for a business model commonly used by such operators), as well as additional debts to aircraft lessors, insurance companies and various creditors.
In November 2024, customer Sam Crigman sued Verijet in the Eleventh Judicial Circuit of Miami-Dade County after purchasing a 50-hour jet card for $147,812 in March.
The lawsuit claimed there were “numerous delays, canceled flights, and countless excuses for Verijet not to provide flight services.” Since Kane’s death, the airline has not operated any flights and is unlikely to do so in the future as it is asking a judge to go straight into liquidation.