Charter carrier Dynamic International Airways LLC, which offers charter flights to regional cities in China, filed for bankruptcy protection Wednesday to stabilize its business, which it says has been hobbled by legal issues and management turnover, the Wall Street Journal reported today. The North Carolina-based airline said it would use the breathing space afforded in chapter 11 to get a grip on pending litigation and accounting problems. The company, which is privately owned, intends to get its affairs in order while in bankruptcy so it can transition the airline from providing charter flights to scheduled flights. Dynamic International Airways Chief Executive Paul Kraus said in a declaration filed in the bankruptcy court that the company “has encountered significant challenges in finding and retaining qualified employees.” The airline has had three chief executive officers, four chief operating officers and three chief financial officers since 2013, court papers say. The turnover resulted in the use of different accounting systems and operations tracking systems that caused significant cash losses, as well as “some confusion and some items to be overlooked and not properly handled,” Kraus said.
