US regulators are planning to strip
Boston-Maine Airways of its certificate and reject its request to expand
operations, citing the carrier’s lack of adequate finances, managerial
competence and regard for the law.
In a ‘show cause’ order issued on
February 1 the US DOT says Boston-Maine - which operates under the Pan Am
Clipper Connection banner - does not possess “the financial wherewithal to
continue or expand its operations without posing an undue risk to consumers and
Additionally, the Portsmouth, New
Hampshire-based carrier lacks “the managerial competence necessary to oversee
its current and proposed operations”.
The DOT also says it does not have
confidence in Boston-Maine’s regard for the laws governing its services “to
ensure that its aircraft and personnel conform to applicable safety standards
and to ensure that acceptable consumer relations practices will be followed”.
Should the department’s order be
finalized it will close a lengthy review into Boston-Maine, which became the
focus of a US DOT office of inspector general investigation in 2005 after
submitting false financial documents to the regulator.
The airline’s long-standing request
to grow its 727 operations was also suspended pending completion of the probe.