Icelandair subsidiary to fly routes to Spain for Jetgreen

An Icelandair subsidiary that was last year linked to FreshAer, the low-cost carrier that never got off the ground, is to operate the scheduled flights from Dublin to Spain offered by aviation start-up Jetgreen.

It has also emerged that one of FreshAer's backers, businessman Mr Colin Gervaise-Brazier, has invested in the new Irish company, and that Jetgreen has bought online ticket-selling technology from the defunct carrier's chief executive, convicted fraudster Mr John Lepp.

Luftleidir Icelandic will fly Jetgreen's planes once they begin their planned services from Dublin to Alicante and Malaga next May. The Icelandair subsidiary is effectively a sub-contractor that provides various aviation services to other operators.

The arrangement means that Jetgreen, which is offering tickets via a website, flyjetgreen.com, is a tour operator, not an airline. The Commission for Aviation Regulation has issued the company with a tour operator's licence and it is fully bonded.

Airlines must be licensed by the Irish Aviation Authority, or an equivalent body in another EU or European Economic Area country, to operate from this country.

Jetgreen does not have this licence, but Luftleidir does.

Last year, FreshAer said that it had signed up Luftleidir to operate its proposed flights from Dublin to the UK and Spain. However, it subsequently emerged that, while the Icelandair subsidiary had held talks with the British-based company, it had never completed any agreement to operate its routes.

British-based FreshAer went to the wall after it was revealed that its chief executive had been convicted of fraud in a London court and was barred from acting as a company director for five years.

The company launched with a promotion backed by Independent News & Media titles, and managed to sell €250,000 worth of flights to Irish people. That money was refunded as FreshAer never reached the point where it operated any flights.

While Mr Lepp has sold Jetgreen the rights to FreshAer's on-line ticket technology, he is in no way involved with Jetgreen. The new company is incorporated and based in Ireland.

One former FreshAer employee, Mr Erig Conway, is a director of the new company. Former Ryanair chief pilot Mr Jim Duggan is also named as a director on Jetgreen's filings with the Companies Registration Office, but he has since stepped down from that role.

Jetgreen's chief executive is Mr Pearce Gilroy, who was chief operations officer with Cityjet, which is now owned by Air France. The new airline will offer 12 seats on every flight for €1 and will also have standard and first-class seats.