Another Airline Files for Bankruptcy, Cancels All Flights

While the start of 2025 brought optimism over strong travel demand, the projections have not held true for every airline.

Braathens Aviation was among the airlines that abruptly shut down. (Photo: Alexander Johnson, Wikimedia Commons)

By September, two Scandinavian carriers — PLAY and Braathens Aviation — left travelers stranded in various parts of the world after abruptly shutting down operations amid high-profile bankruptcies, Veronika Bondarenko reported for TheStreet.

Earlier in the year, Ravn Alaska, Air Belgium, and Malaysia’s SKS Airways also ceased operations. Larger carriers such as Wizz Air and Qantas Airways shuttered their regional branches in Abu Dhabi and Singapore, respectively.

By the end of October, reports emerged that charter operator Verijet had filed for Chapter 7 bankruptcy.

The Vero Beach, Florida-based airline had accumulated more than $38.7 million in liabilities and was facing multiple lawsuits following the sudden death of its 60-year-old founder, Richard Kane, from a heart attack at the end of September.

As first reported by a private aviation outlet, the filing was submitted to the U.S. Bankruptcy Court for the Southern District of Florida, 11th Circuit Unlike Chapter 11 bankruptcy, Chapter 7 does not involve restructuring or seeking financial assistance — it leads directly to liquidation.

Operating a fleet of single-engine Cirrus SF50 Vision jets, Verijet offered short-haul flights across various U.S. regions.

In 2023, the airline expanded rapidly to the Bahamas and other international destinations, including the Dominican Republic, Turks and Caicos, and the Cayman Islands.

Founded at the height of the COVID-19 pandemic in 2020, Verijet grew quickly and was ranked the 13th-largest operator of charter and fractional flights in the U.S. in 2023.

Its $38.7 million in liabilities included more than $10.5 million owed to jet card customers.