PETALING JAYA: The Civil Aviation Authority of Malaysia (CAAM) has suspended MYAirline Sdn Bhd's air operator's certificate (AOC) effective Monday (Oct 16).
In a statement released by CAAM, its chief executive officer Datuk Capt Norazman Mahmud said this was pursuant to Regulation 193(3) of the Civil Aviation Regulations 2016 and would be for a period of 90 days pending further investigations.
"As the technical regulator of the Malaysian aviation industry, CAAM oversees the technical aspects of air operators to ensure that all universal safety and security standards are met.
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"CAAM issues an AOC to authorise an air operator to engage in specified aircraft operations.
"Among the key aspects that are assessed for an AOC issuance and renewal are the capabilities of the air operator to conduct safe operations and in accordance with the provisions of (operational) specifications.
"CAAM carries out a detailed safety audit to assess the capability and competency of the air operator in the areas of commercial air transport, operations and airworthiness," he said in the statement.
Norazman added that a safety audit was carried out on MYAirline from May 29 to June 1 for its AOC renewal and at that time, there were no findings to indicate financial distress.
"Elements of the financial indicator checklist as per International Civil Aviation Organization (ICAO) Documents 8335 were included in the safety audit process.
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"As part of the safety audit, AOC holders must also provide evidence indicating financial solvency to CAAM.
"This is to ensure the air operator has the financial resources to conduct its planned operations.
"Should a financial issue arise, a written notification to CAAM must be made immediately to ensure no compromise to the safety of operations.
"To date, MYAirline had not submitted such a notification to CAAM," he said.
Norazman said the sudden suspension of MYAirline’s operations on Thursday (Oct 12) without prior notification to CAAM raised serious public safety concerns.
It also reflected on the overall integrity of civil aviation operations in Malaysia, he added.
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"A detailed safety audit will be carried out on MYAirline during this suspension to reassess the airline’s capability.
"Any violations by AOC holders will be dealt with in accordance with Civil Aviation Regulations 2016 and Civil Aviation Directives (CAD)," he said, adding that all licence holders are reminded to uphold their obligation to regulations and ensure strict compliance.
It was reported that the suspension of MYAirline operations on Thursday (Oct 12) affected about 125,000 passengers who bought air tickets worth RM20mil in total.
MYAirline Sdn Bhd said in a statement its operations were suspended until further notice owing to significant financial pressure.