The taxpayer found himself in a difficult situation due to claims amounting to 444,412 euros from clients of the bankrupt company Platinum Travel Ltd.
The Dublin-based travel company ceased trading on December 19 last year, and the annual report of the Irish Civil Aviation Authority's Travel Agents and Tour Operators Bonds and Travel Protection Fund shows Platinum Travel Ltd's bonds covered just €47,143 of the 2024 claims.
The total claims of Platinum Travel Ltd customers, based in Clontarf, for flights and package holidays amounted to €478,112, which was offset by €13,443 under the heading ‘Claims – Return of Credit Notes’, leaving the remaining claims of €444,412 met by the Department for Transport fund.
The note states that the bonds were not sufficient to meet all obligations without recourse to the Department of Transportation's fund.
The annual report clarified that the Traveller Protection Fund's cash level was insufficient to compensate all claimants for the 2020-2024 collapses, and a request was made to the Department of Transport to replenish the fund.
The Ministry of Transport allocated €2.75 million to the Traveller Protection Fund between 2020 and 2023, and on 19 December 2024, following the collapse of Platinum Travel Ltd, the Ministry was asked to provide another €450,000.
The Department of Transport's contribution of €450,000 in 2024 is three times the €150,000 contribution made in 2023.
The document states that a claim has been filed with the company's liquidator to recover the amounts paid by the Department of Transport Funds.
The Department of Transport funds were received on 30 January this year and the Irish Civil Aviation Authority “concludes that the receipt of these additional funds enables the Fund to operate as a going concern”.
According to Platinum Travel's latest reports, the company incurred losses of €14,271 in 2023.
As of the end of 2023, the company incurred losses of €68,799. Its share capital amounted to €76,201.
The company's cash balance at the end of December 2023 amounted to only 2,990 euros.
The report on the Traveller Protection Fund, Travel Agents and Tour Operators Bonds of the Irish Civil Aviation Authority states that the bond requirement can also be met by depositing cash with the Irish Civil Aviation Authority (IAA); as of 31 December, the latest cash deposited for this purpose was €24.76 million, compared to €41.62 million at the end of December 2023.
Sourse: breakingnews.ie
