Sunday, January 19, 2025 FlySafair , one of South Africa’s prominent low-cost carriers, is embroiled in a scandal that could disrupt the country’s aviation market and travel industry. Accusations of illegal overbooking practices, ownership violations, and evading compensation claims have sparked outrage and could lead to severe sanctions, including license suspension or criminal charges. The controversy stems from FlySafair’s alleged violations of local and international aviation laws.
According to CemAir CEO Miles Van Der Molen, mounting evidence suggests FlySafair has bent the rules to gain a dominant position in South Africa’s competitive aviation market, a move that critics argue undermines fair competition in the travel trade. At the heart of the issue lies FlySafair’s ownership structure. The Air Services Licensing Act mandates that South African airlines must have at least 75% local ownership.
The International Air Services Act similarly requires substantial local shareholding, generally accepted to be above 50%. However, FlySafair’s current structure falls short of these legal requirements. The airline is 74.
86% owned by ASL Aviation Group, a setup deemed non-compliant by both the Air Services Licensing Council and the International Air Services Council (IASC). The IASC further revealed that FlySafair had failed to apply for an amendment to its air service license when its ownership structure changed in 2019. These findings indicate that FlySafair has flou.
