Noel asks federal transport minister to assist Canada 3000 customers

Walter Noel, minister responsible for consumer affairs, has written federal Transport Minister David Collenette regarding the collapse of Canada 3000 and the dramatic negative impact it has had on consumers.

In his letter Mr. Noel said:

"The decline in competition in the airline industry will result in higher fares and inadequate service in our province. This will have unacceptable negative impacts on the economy of Newfoundland and Labrador, and the standard of air service. As an immediate issue, the plight of consumers who purchased Canada 3000 tickets which were not honoured has to be addressed.

"As the stability of the air industry in Canada was the subject of much of your personal attention over the past year and as Canadians relied upon you to ensure the continued competitive environment which included Canada 3000, we are relying on Transport Canada to assist the Trustee to ensure full repayment for individuals who purchased tickets on Canada 3000 flights which will not now take place."

Consumer affairs officials in the Department of Government Service and Lands are advising consumers of certain actions they may take with respect to this matter.

Consumers who paid for their tickets with a credit card should contact their credit card company or banking institution to see if those charges can be reversed. Consumers who bought separate travel insurance should call their respective insurance companies to see if those companies will cover the costs.

Minister Noel advises that he has asked officials to examine measures which may be introduced to ensure that suitable compensation funds are put in place to deal with such unfortunate situations.

Media contact: Rick Callahan, Director of Communications, (709) 729-4860.

2001 11 23                           10:10 a.m.