Business News of Monday, 22 December 2003

Source: Chronicle

Move to seize KLM assets in Ghana

THE PROPERTIES of KLM, the Royal Dutch Airlines in Ghana, may today, Monday be seized to defray $50,000 damages and ?10 million cost awarded to a customer of the airlines by an Accra Fast Track High Court.

The decision to attach the properties of the airlines in Accra followed an Appeal Court’s ruling last week against an application for the stay of execution and appeal filed by the KLM for non-compliance of rule 20(1) of the appeal court.

The Appeal Court presided over by Justice S.O. Adinyira on December 10, struck out the stay of execution filed by KLM because the airline failed to file its statement of defence after the mandatory 21 days as permitted by the law had elapsed.

About three months ago an Accra Fast Track High Court awarded damages to Mr. Sylvanus Juxon-Smith a customer of the airlines for breach of traveling contract.

Juxon-Smith hauled the airline to court last year after the KLM had failed to meet his demand for a compensation after he had accused the airline of breach of contract on the part of some officials of the airlines in Accra which made it impossible for him to travel to London on July 15, 2002 and proceed to Brussels where he was to bid for a contract.

According to the customer, he purchased a KLM business class ticket number 3-074-3624752951-6 to travel to London on July 12,2002 aboard the KLM flight from Accra.

He said due to some unforeseeable circumstances he could not travel on the said date and as a result called at the offices of the airlines in Accra to explain why he could not make the trip.

Juxon-Smith noted that the officials of the airlines agreed and concluded by all contractual agreement to reschedule his flight on July 15,2002.

As part of the agreement he said he was assured by the officials of the KLM at Kotoka International Airport (KIA) that since he was in possession of a Business Class ticket there was no need for him to be present at the airport to arrange for the rescheduling of his flight on the July 15,2002 in the next KLM flight to London.

He said on July 15,2002 at 7.30pm he arrived at the check-in desk of the KLM at the KIA and after putting his luggage on the scale, he handed his traveling documents to the KLM officers to process.

“The first reaction from the officers of the KLM was that I had an excess baggage without first checking the class of ticket I was holding” Juxon-Smith said.

However he pointed out to the KLM officers that he was traveling on Business Class ticket and as such was entitled to a maximum of 40 kilos of baggage.

Despite his entitlement he said his baggage was even far below the 40Kg weight.

Having cleared this first hurdle, another KLM officer came to Juxon-Smith to inform him that his business class ticket was not valid for the flight on that day since he made no prior reservation to travel on that flight. “But tried as I did to explain matters, the KLM officer refused to allow me to join the flight even though I had earlier made reservation on July 12, 2002,” he pointed out.

In spite of Juxon-Smith’s explanation, he was not allowed to join the flight on the grounds that he was late in checking-in for the flight.

To his surprise he said some white guys who were even traveling on economy class tickets also arrived late, but were allowed to board the plane.

He said this happened in the presence of some top government officials and when he complained the KLM officials later accepted the responsibilities, apologized and rescheduled his flight on July 16, 2002.

As a result Juxon-Smith said he lost a $500,000 contract for not arriving in London on Tuesday July 16, 2002, hence the filing of the writ.