The Supreme Court of New South Wales has ordered JetGo Australia (Brisbane International) to be liquidated after ruling in favour of Dubbo Regional Council in a dispute over fee payments.
In its case lodged in May this year, the municipality sought to have the airline wound up claiming it did not have the means to settle a bill of over AUD400,000 Australian dollars (USD295,000) for use of Dubbo Regional Airport. The move had already pushed the carrier to enter into administration last month.
"Dubbo Regional Council acted in the best interests of our community in this process and will continue to focus on stabilising airline services for our regional community," the council said in a statement to ABC.
"Unfortunately our community, along with many other communities and businesses, have been financially impacted by this business failure."
Aside from its Dubbo debt, JetGo also reportedly owed around AUD850,000 (USD627,500) to the City of Karratha. According to The West Australian, Karratha had spent AUD420,000 on sponsorship ahead of JetGo's planned launch of flights from Karratha to Brisbane International, and eventually to Singapore Changi later this year.
Sule Arnatovic, of Jirsch Sutherland, has been appointed JetGo's liquidator.