Decision No. 20-A-2004

January 9, 2004

File Nos. M4210/C416-1
M4210/C416-2

Compton Airways Ltd. (hereinafter the Licensee) has applied to the Canadian Transportation Agency (hereinafter the Agency) for the suspension set out in the title. The application was received on January 7, 2004.

Under Licence No. 962053, the Licensee is authorized to operate a domestic service, small aircraft.

Under Licence No. 970035, the Licensee is authorized to operate a non-scheduled international service, small aircraft, to transport traffic on a charter basis between Canada and any other country.

Pursuant to paragraph 63(2)(b) of the Canada Transportation Act, S.C., 1996, c. 10 (hereinafter the CTA), the Agency may, subject to section 64, suspend or cancel a domestic licence in accordance with a request from the Licensee for the suspension or cancellation. Subsection 64(2) of the CTA requires that the Licensee give notice of the proposal to discontinue a domestic service and that the Licensee shall not implement the proposal until the expiration of 120 days, or 30 days if the service has been in operation for less than one year, after the notice is given or until the expiry of any shorter period that the Agency may, on application by the Licensee, specify by order.

The Agency has reviewed the matter and, in light of the seasonal nature of the service, is of the opinion that compliance by the Licensee with section 64 of the CTA is unnecessary in this case. Accordingly, pursuant to paragraph 80(1)(c) of the CTA, the Agency hereby exempts the Licensee from the application of section 64 of the CTA.

In addition, pursuant to paragraph 75(2)(b) of the CTA, the Agency may suspend or cancel a non-scheduled international licence in accordance with a request from the Licensee for the suspension or cancellation.

The Agency has considered the application and, pursuant to paragraphs 63(2)(b) and 75(2)(b) of the CTA, hereby suspends Licence Nos. 962053 and 970035.

To reinstate the suspended licences, the Licensee is provided with a period of one year from the date of this Decision to file an application to that effect. If, at that time, upon consideration of the application, the Agency determines that the Licensee meets the requirements of subparagraphs 61(a)(i) to (iii) and 73(1)(a)(i) to (iii) of the CTA, which provide that the Licensee must be Canadian, must hold a Canadian aviation document and must have prescribed liability insurance coverage, the licences shall be reinstated.

Alternatively, one year from the date of this Decision, if the application for reinstatement is not filed or the Licensee does not meet any of the requirements of subparagraphs 61(a)(i), (ii) or (iii) and 73(1)(a)(i), (ii) or (iii) of the CTA, the Licensee is provided with an additional thirty (30) days to show cause why Licence Nos. 962053 and 970035 should not be cancelled pursuant to subsection 63(1) and paragraph 75(1)(a) of the CTA.

This Decision shall be affixed to Licence Nos. 962053 and 970035 and the suspension of the licences shall remain in effect until further order of the Agency.