The Transportation Department (DOT) said it will file a claim for a $500,000 civil penalty against Sky King, the bankrupt charter airline that had operated public charters for Direct Air, the trade name for the defunct Southern Sky Air & Tours of Myrtle Beach, S.C.
The DOT said Sky King violated several provisions of the charter rules, such as failing to obtain full payment before operating a charter, canceling flights on less than 10 days’ notice and failing to provide return transportation to passengers who were stranded by the demise of the program last March.
The airline, which is in Chapter 11 reorganization, consented to the issuance of a cease-and-desist order but said it was the victim of fraud by Direct Air.