Virgin Australia administrators have temporarily stopped issuing refunds and credits on cancelled flights, according to The Guardian.
Based on an email sent to customers who have requested their money back or a flight credit on their cancelled trips, the airline has “temporarily paused issuing new travel credits and refunds while we wait for direction from the administrator”.
This decision is believed to ensure that administrators from Deloitte will not have any personal liability for the credits and refunds.
It’s not known how many customers have been affected by the temporary change or how much the flights were worth but more information is expected in the coming days.
“Since the appointment of the administrators, they have been logging customer requests for refunds and credits while they work on a solution for affected customer,” said a Deloitte spokesperson.
“The administrators will be able to provide more certainty on arrangements for those customers in coming days.”
Any credits that were issued to customers before administrators were appointed to Virgin Australia on April 20 will remain valid.
This comes after Virgin Australia entered voluntary administration due to the coronavirus pandemic, with administrators hoping for a quick sale of the airline to help cover billions of dollars worth of debt.