A return from Tiger Airways looked increasingly unlikely today, with the budget carrier suspending ticket sales in Australia.
Five days after grounding its fleet over safety concerns, the Singapore-based carrier was warned by consumer regulators it could face legal action for improperly disclosing the situation to passengers.
The Civil Aviation Safety Authority (CASA) order the grounding of the carrier over the weekend, raising several safety and maintenance concerns.
Concerns include reports two Tiger aircraft recently approached separate Melbourne airports below a safe flying altitude.
Flights are presently expected to be grounded until at least July 9th, with Tiger presently locked with discussions with the CASA as it attempts to rectify concerns.
“Discussions with CASA regarding a resumption of services are ongoing and constructive,” said a statement from Tiger.
Australian Competition & Consumer Commission
Officials from the Australian Competition & Consumer Commission have warned Tiger Airways to be more open with consumers.
While the body is unlikely to forbid Tiger from selling tickets, the airline must warn customers at the point of sale about the potential for further cancellations.
Information about refunds must also be forthcoming, said the ACCC.
Tiger, which is 33 per cent owned by Singapore Airlines - has insisted it intends to stay in the Australian market for the long-haul.
Shares in rivals Qantas Airways and Virgin Australia have soared in recent days.