Tag: Astar Air Cargo

US Astar fears more trouble from competitors

Astar Air Cargo fears “more mischief” from its competitors even if a US Department of Transportation (DoT) inquiry backs its claim to be entirely independent of former owner DHL.

US law prohibits foreign interests from holding more than a 25% stake in a US airline. Integrators FedEx and UPS claim that Astar, formed in July when DHL sold its remaining stake to a group of US investors led by former DHL Airways CEO John Dasburg, is still under the effective control of Deutsche Post.

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US review of air ownership case to be secret

A government case testing U.S. airline ownership limits that was prompted by complaints from UPS and FedEx has become so bitter and entangled that a judge is taking the matter behind closed doors, officials said on Monday.
Transportation Department Administrative Law Judge Ronnie Yoder has ordered that the Aug. 19 hearing on the ownership structure of Astar Air Cargo, formerly DHL Airways, be conducted in secret. A preconference hearing to set out a schedule for evidence and testimony for the upcoming proceeding will be held on Wednesday and will be open to the public, according to Yoder’s order issued late on Friday.

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Astar asks U.S DOT to reject FedEx-UPS motion

Asserting that its competitors “will stop at nothing to prevent competition,” Astar Air Cargo, formerly DHL Airways, urged the U.S. Department of Transportation to reject a joint request from FedEx and United Parcel Service to refer the probe of Astar’s ownership to the agency’s inspector general. Astar charged that its opponents were pulling out all the stops to delay a resolution of the controversial case.

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Astar asks DOT to drop DHL case

Astar Air Cargo, formerly DHL Airways, asked the Department of Transportation on Tuesday to dismiss the latter’s investigation into the all-cargo airline’s ownership. Astar said the airline’s July 14 sale rendered the inquiry moot.

“With completely new owners, who are indisputably U.S. citizens eager to compete with FedEx and UPS, the citizenship of Astar must be treated in the normal manner, not shoe-horned into this docket where it does not fit and does not belong. The issue in this docket, the citizenship of Airways in light of the May 2001 reorganization, is now moot and must be dismissed,” the filing stated.

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Former DHL Airways owner refuses to testify in DOT probe

As expected, William A. Robinson, the former principal owner of DHL Airways, now Astar Air Cargo, failed to appear at a deposition hearing in Los Angeles Thursday in the federal probe into the ownership of DHL’s all-cargo airline. In a letter to attorneys for FedEx Corp. and United Parcel Service, whose complaint sparked the Department of Transportation probe, Robinson’s attorney, Philip Le B. Douglas, said the deposition will not go forward because Robinson believes his testimony is no longer relevant in light of the airline’s sale Monday to an investor group led by John Dasburg, its chairman and chief executive. Robinson had previously agreed to testify.

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