Air Namibia Liquidators still negotiating the airline’s Debts

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Air Namibia’s liquidators say the defunct airline still has liabilities amounting to N$3.5 billion (USD 247.7million), of which roughly N$693 million (USD 49 million) involves unpaid taxes, according to The Namibian.

The airline has also extended bank loans worth N$408.7 million (USD 28.8 million), and still owes former employees N$105.5 (USD7.4 million) in severance packages.

The airline is among the casualties of the pandemic having ceased operations on February this year with situation now running from bad to worse.

The second general meeting which the airline’s stakeholders including its creditors appeared before High Court on 1 September, resolved that all actions of the joint provisional liquidators and joint liquidators are approved and ratified.

The joint liquidators are hereby authorised to dispose of the immovable and moveable assets of the company by public auction or public tender or private treaty, the mode of sale for any one or more of the assets to be at the discretion of the joint liquidators, and all costs incurred in relation thereto to be costs in the liquidation,” the resolutions read.

The liquidators said past boards of directors and management cannot be held accountable for any harm or liabilities to the company during the tumultuous financial period of the troubled carrier.

“It does not appear that the directors or officers of the company are liable for damages or compensation to the company,” the liquidators said in their report.

From unpaid debts that could date in the late 90s involving the leasing of a Boeing 767, the airline survived a previous attempt to be liquidated in January after its lessor ChallengeAir (also defunct) attempted to recover the debt owned amounting to $N 250 million (USD17 million).

The government of Namibia also confirmed in August it had paid USD 107 million to global leasing giant Castlelake after it leased two Airbus A330s to Air Namibia after close to a year of negotiations.

By Victor Shalton Odhiambo

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