The International Air Transport Association (IATA) has suspended low-cost carrier Fly540 from using its automated ticketing system for reportedly breaching its Billing and Settlement Plan.
In a letter announcing the suspension, IATA indicates the airline breached its Billing and Settlement Plan (BSP) rules under Resolution 850 and has ordered all travel agents to cease issuing tickets and receiving payments on behalf of Fly540.
“(The) agents must immediately stop using Fly540’s name and numeric code as a ticketing airline,” the letter from IATA read in part.
The BSP is an electronic system operated by IATA that allows accredited travel agents to book tickets and manage the payments for airlines that have registered with the system, with IATA having over 88 BSPs across the world covering various markets.
The suspension means that fly 540 passengers will no longer be able to book for flights as usual and that travelers who had already booked flights will have to wait until the travel agents collecting payments on behalf of Fly540 agree with the airline on how refunds can be settled.
FLY 540 has termed the move by IATA as “bullying”
Leading Domestic Carrier
Fly 540 has just been voted as the leading Domestic safari Carrier by the World Travel Awards 2020, for the sixth year in a row.
The Nairobi-based airline, which commenced operations in 2006, is operated by Five Forty Aviation Ltd.