ADI continues to defend itself

Staff report

VIENNa

The company wishing to provide air service between Youngstown and Chicago via the Youngstown-Warren Regional Airport is once again defending itself.

Aerodynamics Inc. of Beachwood, Ohio, and Atlanta is responding to James Paquette and Via Airlines.

The ADI Youngstown-Chicago O’Hare International service, if eventually approved, would provide 10 round-trip flights per week between the two airports on a 50-passenger plane.

In a Jan. 6 filing to the U.S. Department of Transportation, ADI told the DOT it “will not engage in a tit-for-tat with the objectors about red herrings and irrelevant issues, as to do so would only serve the objectors’ objective of delaying the department’s final consideration of ADI’s application and further burden the department’s busy staff.”

Both Paquette and Via made an initial objection to ADI receiving certification for service because they said ADI failed to make $8,766 in payments in August, September, October and November.

ADI responded by calling the objection “moot because the note has been paid in full,” adding that the objection also was “a misguided effort by a competitor of ADI to retaliate against ADI.”

ADI’s response also contained an emailed letter from ADI saying the company would be sending payment that day in excess of $410,000 to pay the remaining principal balance, interest and late fees on the $400,000 note to Paquette.

In a Jan. 5 filing with the DOT, Paquette and Via contended their objection is not “moot,” however.

“Without even contacting Via or Mr. Paquette’s counsel to determine the costs and fees owed, ADI hurriedly wired funds so that it could file its reply to the instant objection and to self-declare the issue moot,” Via and Paquette’s response states.

Now, ADI claims Via and Paquette’s response has no merit. Via and Paquette made reference to the company’s fraud and deception by ADI’s former owner, which “have no bearing on ADI’s current fitness,” ADI says.

ADI notes in its response that it had no obligation to advise the DOT of a temporary default on a promissory note “because there was no action or outstanding judgment related to the note against ADI.”

ADI contends the note, interest and late fees have all been paid to the total of $710,000. What remains are legal fees of about $32,000 that the new ownership has asked for a breakdown.

“The department should expeditiously issue ADI its requested certificate authority,” ADI writes. “Any further delay will significantly harm the carrier and its ongoing efforts to rebuild after the department’s proposed revocation of ADI’s charter authority earlier this year.”