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Fri, May 12, 2006

CA Airport Operator Under Investigation

Allegations Of Skimming, Booting Av Tenants

Is a California airport management company skimming off the top? That's just one of the allegations against American Airports Corp. in an ongoing investigation by the FAA and Los Angeles County aviation officials.

The San Gabriel Valley Tribune reports pilots have suggested American Airports is diverting airport funds for its own use. Other allegations include illegal fuel sales, unfairly hiking rental rates, and booting tenants out of hangars to make room for higher-paying non-aviation customers.

The complaints come from one pilot acting alone, and a law firm representing six pilots. They say the company boosted fuel prices -- then, instead of turning the extra money over to the county to help offset maintenance costsn kept the money for itself.

FAA airport compliance specialist Tony Garcia said his department is studying the contract American Airports Corp. has with the government, to see if there are any discrepancies... but cautioned there's only so much the FAA can do.

"There are certain obligations under those agreements," Garcia said. "Those unhappy with the county and American Airports have a much larger agenda, and we can't address all of their grievances if they don't lie within the parameters of our relationship."

An executive for American Airports denies any wrongdoing... and says it's following orders from the County Board of Supervisors to do all it can to boost airport occupancy.

The company runs five LA County airports, including Brackett Field in La Verne (KPOC) and El Monte Airport in El Monte (KEMT). According to the company's website, American Airports Corp. also operates the airport on Sand Island, in the Midway Atoll National Wildlife Refuge.

The investigation -- which could take months -- continues.

FMI: www.americanairports.net, www.faa.gov

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