FINES UPDATE

September 29, 2014

The below additional fines have recently been issued by DOT and FAA:

Air Methods Corporation – $428,000

The FAA has proposed a $428,000 fine against Air Methods Corporation for allegedly operating two helicopters that were not in compliance with Federal Aviation regulations.  The FAA alleges Air Methods, an air ambulance operator, violated its FAA-approved operations specifications by flying two helicopters without performing required inspections of their Night Vision Imaging System Compatible Lighting Filtration (NVIS) installations.  Air Methods allegedly operated both aircraft on more than 900 combined flights in 2011 when the inspections were overdue.  Air Methods has 30 days to respond to the agency.

Air Evac EMS Inc. – $110,000

On July 31, 2013 the proposed a $110,000 civil penalty against Air Evac EMS Inc., of West Plains, Mo., for operating a Bell BHT 206 helicopter that was not in compliance with Federal Aviation Regulations.  Allegedly, a company mechanic installed a chin bubble window on the aircraft without following the manufacturer’s instructions, and then failed to document the installation in the aircraft’s maintenance logbook.  Following the repair, Air Evac returned the aircraft to service and flew it on eight passenger-carrying flights.  The chin bubble window then fell off while the aircraft was flying, resulting in a precautionary landing.

Voyageur Travel LLC, formerly d/b/a LDS Travel and Meridian Trips LLC,  and Brian Mickelsen – $20,000

DOT on August 14, 2014 fined Voyager Travel LLC, formerly d/b/a LDS Travel and Meridian Trips LLC and Brian Mickelsen, the owner and former member of the LLC, in his personal capacity, $20,000 for violating the Department’s advertising requirements.  This is a unique and somewhat unusual case because the company’s owner was fined in his personal capacity.  An investigation by the Department’s Office of Aviation Enforcement and Proceedings revealed that prior to January 26, 2012, Voyager Travel advertised air tour packages that failed to include all fuel surcharges in the prices advertised, failed to state that the prices were subject to post purchase price increases, and failed to provide appropriate notice of the existence, nature, and amount of other charges and additional taxes and government-imposed fees that were then permitted to be stated separately from the base fare.

As part of the settlement agreement, Mr. Mickelsen also agreed to cease and desist from engaging in air transportation operations as an owner, director, or member of a LLC, ticket agent, air carrier or foreign air carrier, or agent of either, for ten years in order to avoid potential litigation.

MetJet, Inc.

On August 8, 2014, DOT issued a consent order and instructions to cease and desist to MetJet, Inc. (MetJet) and Michael Heisman, the former president and CEO of MetJet) for violating DOT’s public charter regulations.  Specifically, an investigation by the Department determined that MetJet and Heisman failed to properly maintain an escrow account and did not timely process consumer refunds in violation of 14 C.F.R. Part 380, which requires that charter participants’ funds be deposited into an escrow account at a depository bank that will maintain a separate account for each charter group.  While no fine was issued, the order directs the Respondents to cease and desist from future similar violations and directs Mr. Heisman to cease and desist for a period of five years from the date of this order from being involved in public charter operations.

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