Zetta Jet (United States of America) (Burbank) suspended all operations and entered into liquidation on Thursday, November 30 after a Central District of California bankruptcy judge refused to greenlight its bid to secure USD8.5 million in Post-Petition financing from lessor Scout Aviation II, LLC.
Court documents indicate the carrier's bankruptcy trustee, Jonathan King, applied to change the proceedings from Chapter 11 to Chapter 7 on Friday, December 1. The move was precipitated by, among other events, the recall of six of ZettaJet's aircraft by creditor financiers.
Zetta Jet USA and its Singaporean parent Zetta Jet Pte. filed for Chapter 11 protection in September of this year citing former Managing Director Geoffrey Cassidy's alleged fraudulent acts, including the misappropriation of company funds amounting to between USD20 – 90 million. Both are currently pursuing legal action against Cassidy.
