Restraining Order Halts JetDirect Plans

 - April 9, 2009, 11:32 AM

A Massachusetts judge has granted a petition for a temporary restraining order preventing JetDirect Aviation Acquisition Company (JDAAC) from completing the purchase of assets of JetDirect Aviation, at least until a preliminary injunction hearing is held tomorrow at 11:30 a.m. EDT. JDAAC has been planning to purchase assets of JetDirect Aviation to form a new charter/management company, but that purchase has been delayed repeatedly. The restraining order petition was filed along with a complaint by a class of current and former JetDirect employees who allege that “for the past several months, JetDirect has withheld money from its employees’ paychecks that is intended to fund the employees’ 401(k) plan, health insurance, disability insurance and flexible spending plans, yet has failed to deposit the withheld funds into the proper accounts.” The complaint estimates that “830 employees have been victimized by this egregious conduct…” JDAAC chairman Robert Pinkas promised current and former JetDirect employees that they will be paid past-due payroll, benefit and expense money. JetDirect charter/management customers who are also owed money have been told they will be repaid if they elect to sign up with the new company. “The only way to be paid is if we go forward,” Pinkas said. If the transaction is stopped and JetDirect is forced to liquidate by its creditors, “nobody gets anything. There is nothing to be gained from stopping and so much to be gained for all stakeholders past and present to go forward.”