Carrier with no planes says it will not operate flights

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Carrier with no planes says it will not operate flights

HONOLULU (AP) =97 A company claiming to be a new air carrier said Tuesday it=
=20
was canceling its plans to operate cut-rate charter flights between=20
Honolulu and Los Angeles, blaming the state for negative publicity. The=20
announcement from Mainline Airways came after it was ordered by a state=20
judge to stop selling bargain-priced tickets over the Internet. "We had=20
every intention of operating, but we cannot fill the planes now when the=20
people of Hawaii are under the assumption that we are a fake airline,"=20
Mainline chief executive Luke R. Thompson wrote in a letter faxed to the=20
state. Thompson also said customers who have purchased tickets will be=20
refunded their money by the end of the week.

The state obtained a temporary restraining order against Mainline after an=
=20
investigation found the company had not filed an application with the=20
Federal Aviation Administration to operate a charter airline and had no=20
planes or employees. "As we have said many times before, we were not to=20
operate our own aircraft, so we are not an airline, we are Mainline=20
Airways, not airlines, and were only to be the tour operator," Thompson's=20
letter said. The letter said Mainline decided to halt plans of chartering=20
aircraft because of "negative public sentiment that has been received=20
because of this action preventing us from engaging in any transactions with=
=20
customers until next Monday, as well as lackluster sales." A message for=20
Thompson, left at a New Jersey telephone number listed on Mainline's=20
letterhead, was not immediately returned. Mainline's fax number was in New=
=20
York City. A street address in Henderson, Nev., was on the company=
 letterhead.

Stephen Levins, spokesman for the state Office of Consumer Protection, said=
=20
that although the company claims to operate from Wellesley, Mass.,=20
officials believe Thompson is located in Yardley, Pa. The secretary of=20
state's office in Massachusetts does not list the airline as a licensed=20
state business. Mainline's Web site is registered by a company in Ft.=20
Myers, Fla. The Office of Consumer Protection said it has not found much=20
more to Mainline than its Web site, which was operating on Monday but=20
appeared to be shut down on Tuesday. Mainline offered fares as low as $89,=
=20
plus $30 in taxes and fees, for one-way flights between Honolulu and Los=20
Angeles starting July 3 =97 about half the lowest fares offered by=20
established airlines. "People are seduced by good deals all the time," said=
=20
Levins. "Obviously if something is really too good to be true, it probably=
=20
is. "If you look at the fares of this airline and of all the other=20
competitors, it certainly offered a really good deal." Levins on Tuesday=20
would not say whether his office has spoken with Thompson.

In the letter, Thompson said Mainline has received 120 "pre-reservations"=20
for flights. He also said all refunds will be completed by Friday. Despite=
=20
saying the company was "permanently" canceling plans of operating flights,=
=20
the letter said, "We do not want a bad taste in the mouths of Hawaiians=20
when they hear the name of our company since we plan to come back in the=20
future operating our own aircraft." The letter also alleged the state was=20
working with other carriers to keep Mainline from doing business in Hawaii.=
=20
"We believe that this injunction was provoked by competing companies who=20
saw us as a viable threat," the letter said. "We now see the predatorily=20
(sic) nature of the route is higher than we expected." Levins disputed the=
=20
allegation. "Our motivation is enforcing consumer protection laws on behalf=
=20
of the state so consumers are protected," he said. "Anything we file is=20
with that in mind, not to participate in a conspiracy with anybody."

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Roj (Roger James)

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