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Ryanair unfazed over Belgian Charleroi fraud probe
Aimee Turner, London (24Nov05, 16:05 GMT, 370 words)


Belgian investigators have called two Ryanair executives in for questioning as part of a fraud probe into a Brussels Charleroi Airport marketing business which is part-owned by the Irish low-cost carrier.

The Charleroi examining magistrate leading the investigation has requested to interview Ryanair chief operating officer Michael Cawley and flight development director Bernard Berger to answer questions over alleged fraud and misuse of funds granted by the Walloon regional government to an airport promotional business called Promocy.

Promocy, which publicises flights and fares to the Belgian airport, is jointly-owned by the carrier and the airport's operator Brussels South Charleroi Airport (BSCA).

A spokesman for BSCA says: “We don’t know the reasons for the investigation. We hope everything will be resolved quickly because we are quite confident in the conclusion of the investigation – once we explain the correct function of Promocy, and explain how it contributes to the promotion of the airport. We think all questions will be answered satisfactorily.”

He says Promocy managed a €8 million ($9.4 million) annual budget and that its marketing plan was approved by the board of Promocy, made up of two airport directors and two directors of Ryanair.

“It is a local investigation and does not relate to any other issue Ryanair has had at Charleroi but it is one more problem, one more issue in the set up of Ryanair’s operations at the airport,” he adds.

But a spokesman for Ryanair insists that the issue is “old news that is being rehashed” and adds: “Promocy is a joint venture between Ryanair and the airport and it has been highly successful at promoting the airport as the low-cost alternative to Brussels, as witnessed by the huge growth in passenger numbers.

“Ryanair makes an equal contribution to Promocy and has spent millions promoting the airport and the local region. The press coverage that Ryanair pays nothing to the airport is complete nonsense as the airport has announced profits in the last two years and the success has led to the creation of thousands of jobs at the airport and in the surrounding area.

“Ryanair is cooperating with the investigation and are confident that the investigation will be dropped once the authorities are aware of the facts.”


Source: Air Transport Intelligence news