Order 2002-2-12 - Aero Continente

Order 2002-2-12 - Aero Continente - Consent Order

Aero Continente, S.A.

Order 2002-2-12

Issued February 14, 2002
Served February 14, 2002

Consent Order

Violations of 49 U.S.C. $ 41301 and 49 U.S.C. $ 41712

Prior to July 2001 Aero Continente conducted numerous flights between Lima and Miami in a manner consistent with its exemption authority using, in most cases, the services of Aero Continente Chile as the wet lessor. A suspension of the Chilean carrier's authority in July 2001, however, abruptly terminated this wet lease service. In an attempt to provide substitute transportation, Aero Continente, the Peruvian carrier, arranged for Falcon Air Express and Miami Air International, both U.S. carriers, to provide service between Panama and Miami. Upon arrival at Panama City, pursuant to the interim service plan adopted by Aero Continente, passengers were transferred from the flights operated by the U.S. carriers to an Aero Continente flight for the continuation of the service to Lima. These joint services continued between mid-July and early August 2001, consisting of 17 round trip flights.

The Enforcement Office believes that Aero Continente's recent violations of its permit authority require formal enforcement measures. In order to avoid litigation, Aero Continente has agreed to the issuance of this order to cease and desist, to the payment of compromise civil penalties, and to the findings made below. By this order, Aero Continente is assessed $20,000 in compromise of potential civil penalties otherwise assessable under 49 U.S.C.

By: Roslaind Knapp