New Orleans startup airline GLO Airlines will fly no longer. A federal bankruptcy judge has ordered the company to start the process of selling off everything it owns in order to pay its bills, NOLA.com reported yesterday. FlyGLO LLC, the airline's parent company, filed for bankruptcy protection in April, but executives assured flights would continue as it restructured and worked through a dispute with the firm that manages and operates its flights. The dispute boiled over the summer, with each side accusing the other of failing to uphold its side of their operation agreement. Court records show GLO told federal regulators on July 15 it was grounding all flights and ceasing operations. In August, the court appointed trustee overseeing the bankruptcy asked a judge to order the airline to start the process of selling its assets and distributing the proceeds to creditors, noting it had racked up more than $421,500 in unpaid bills in fewer than three months. Bankruptcy Judge Jerry Brown ordered the liquidation Sept. 1. As of Wednesday, GLO's website was still up, but its booking function was disabled.
