Order No. 1998-A-57

February 6, 1998

File Nos. M4211/W34-3
M4211/W34-2

Under Licence No. 975069, West Isle Air, Inc. (hereinafter the Licensee) is authorized to operate a scheduled international service between points in Canada and points in United States of America, excluding services to/from the point Toronto, Ontario, Canada during the "transition phase" as set out in Annex V of the Agreement.

Under Licence No. 977226, the Licensee is authorized to operate a non-scheduled international service to transport traffic on a charter basis between points in Canada and points in the United States of America.

The insurance coverage prescribed in the certificate of the Licensee on file with the Canadian Transportation Agency (hereinafter the Agency) has been cancelled effective January 2, 1998.

Pursuant to subparagraphs 69(1)(a)(iii) and 73(1)(a)(iii) of the Canada Transportation Act, S.C., 1996, c. 10 (hereinafter the CTA), the Licensee must establish to the satisfaction of the Agency that it has prescribed liability insurance coverage in respect of the services to be provided under the licences.

The Agency has determined that, in respect of the service for which the licences were issued, the Licensee ceases to meet the requirement of subparagraphs 69(1)(a)(iii) and 73(1)(a)(iii) of the CTA.

Pursuant to subsection 72(1) and paragraph 75(1)(b) of the CTA, the Agency must suspend or cancel a scheduled international licence and a non-scheduled international licence where the Agency has made such a determination.

The Agency is of the opinion that in the present circumstances it should suspend immediately the said licences and require the Licensee to show cause why the said licences should not be cancelled.

Accordingly, the Agency, pursuant to subsection 72(1) and paragraph 75(1)(b) of the CTA, hereby suspends Licence Nos. 975069 and 977226.

In addition, the Licensee is hereby required to show cause within thirty (30) days from the date of this Order why the said licences should not be cancelled pursuant to subsection 72(1) and paragraph 75(1)(b) of the CTA.

This Order shall be affixed to Licence Nos. 975069 and 977226 and the suspension of the licences shall remain in effect until further order of the Agency.