CABINET MINUTE DECISION NO.

BRISBANE, /f' I /CJ / 19 1/

Department of Transport - Air. Charter License SUBJij~)p:r lcatlon from 5eaboa rd 1u 11 tnes 'F'ty. Lt/j.

------------------------ (Submission No. ~ 7f':. 7.:1 .... )

J'o Coples Received at ,:}' J'o _ikffl. p.m. /J / /0 /19 "7 ~i,; ~1-V

e

e

e

Coples Made

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

;;

GOVERNOR

SIR JOH BJEL -- 1r,--~ ....

~-~ - .. M'D r.TTNN

MR. HINZE

rm. GIBBS

MR. AHERN

MR. LANE

MR. GLASSON

MR. AUSTIN

MR. POWELL

MIL T.F.~TER

rm. TENN!

MR. HARPER

MR. f1UNTZ

MR. MCKECHNJ

MR. KATTER

MRS. CHAPMAr

MR. NEAL

MR. CLAUSON

Master File

CIRCULATION DETAILS

21 Decision F le

KE- 22 :2...~

23 0 24

25

26

/ 27

28

29

30

31

32

33

34

E 35

36

37

38

39

40

J> ...&.

I\)

G)

"' ~ QJ

'< ~ Vl

(')

O'I OJ -(1)

0,

l t

I~·.,.

... -

• e

Submission No. 47573

C O N F I D E N T I A L

C A 8 I N E T M I N U T E

Brisbane, 19th October, 1987

Decision No. 52754

Copy No. 20

TITLE: Department of Transport - Air Charter License Application from Seaboard Airlines Pty. Ltd.

CABINET decided:-

That the contents of the Submission be noted.

CIRCULATION: Department of Transport and copy to Minister. All other Ministers for perusal and return •

~ Certified T~E~~~e-+-_..,~

e

e

e

SECURITY CLASSIFICATION "C" CONFIDENTIAL

Submission No.

Copy No.

F O R C A B I N E T

DEPARTMENT OF TRANSPORT

AIR CHARTER LICENSE APPLICATION FROM SEABOARD AIRLINES PTY LTD

47573

21

1. Seaboard Airlines Pty Ltd has applied to the Commissioner for Transport for a license to authorise the carriage of passengers and goods by air charter within the State of

Queensland.

2.

3.

4.

The company Seaboard Air 1 i nes Pt y Ltd currently ho 1 ds a Commonwealth Air Charter License issued in Queensland. It is registered by the Queensland Corporate Affairs Office.

Corporate Affairs records show that the company changed its name from Air Hibiscus Pty Ltd on 29th July, 1987.

A recent letter from Seaboard Airlines states that their shareholders are:

Travcoa Ltd, a Public Company (NSW)

The Australia Travel Leisure and Sports (ATLAS) Club Ltd, a Public Company (NSW)

Rhan Services Pty Ltd (ACT) Skycoach (Qld) Pty Ltd Australian Prior Experience Pty Ltd (Qld) Aircraft Component and Engineering Pty Ltd

(Qld)

40,000 shares

45,000 shares 5,000 shares

5,000 shares 5,000 shares

5,000 shares

- 2 -

5. That letter also nominates the Directors of Seaboard Airlines Pty Ltd as:

Dr. Robert Noakes (ACT);

1r. Terry Russell (Cairns); and

1r. Greig Hourigan (Cairns).

6. It would appear, how ver, that a Mr. Michael Bartlett, who

was associated with Air IIibiscus, continues to have a very active interest in Seaboard Airlines Pty Ltd.

7. Mr. Bartlett and his company Penny Arcade Pty Ltd trading

as Air Hibiscus were the subject of a previous Cabinet

Submission No. 43471 informing Cabinet that an application for air charter and regular scheduled air service licenses

was not to be approved because of Mr. Bartlett 1 s past business activities, his character and the fact that it did not appear that his company had any demonstrated

stability. Cabinet by Decision No. 48221 of 10th March, 1986 noted the contents of the Submission.

8. Investigations by the Commissioner for Transport have revealed that Mr. Bartlett:

holds 10.62% of the shares in Travcoa Limited;

is Managing Director of Skycoach (Qld) Pty Ltd; and

was a founding member of, and has claimed to own the ATLAS Club .

9. Travcoa Limited (40,000 shares) Skycoach (Qld) Pty Ltd

(5 , 000 shares) and the ATLAS Club (45,000 shares) control 90,000 of the 105,000 shares in Seaboard Airlines Pty Ltd.

10. Investigations have also revealed that :

It was Mr . Bartlett who applied for the Commonwealth

Air License on behalf of Seaboard A1rlines Pty Ltd;

Since March 1986, Mr. Bartlett 1 s minor New South

Wales intrastate and interstate air services have failed, the latter after only two weeks operation;

- 3 -

Nr. Greig Hourigan, a Director and the Chief Pilot

for Seaboard Airlines Pty Ltd was the principal of

Greig's Aviation, an air charter firm in North

Queensland, which recently collapsed.

11. Although Seaboard Airlines Pty Ltd has applied for an air

charter license it would seem that the intention is to

engage in defacto regular scheduled air services.

12. 1r. Bartlett has recently made press statements on behalf

of Seaboard Airlines and his other companies announcing

joint coach/ a i rcr aft and aircraft only services bet ween

Cairns and Townsville under the umbrella of a large, easy

to join, sponsoring organisation (believed to be the

ATLAS Club) using charter aircraft at quoted single fares.

13. Section 59 of the State Tranpsort Act provides that th

Commissioner for Transport may grant to any person a

license to provide and carry on a service for the

carriage by air of passengers or goods or both passengers

and goods.

14. In light of Mr. Bartlett's obvious involvement with

Seaboard Air] ines Pty Ltd, his history of failed

enterprises, the refusal in 1986 of his applications for

air licenses and the obvious intention to conduct defacto

regular air services via charter operations, the

Commissioner for Transport has determined that it would

not be in the public interest to issue a State Air License to Seaboard Airlines Pty Ltd.

15. Consequently the Commissioner for Transport has advised

that subject to any direction as to policy, he proposes

NOT to issue an air license to Seaboard Airlines Pty Ltd.

I do not propose to direct the Commissioner otherwise.

16. Submitted for the information of Cabinet.

Brisbane 15th October, 1987

(D.F. Lane)

MINISTER FOR TRANSPORT