Watchdog probes pilot training college as complaint made

The Waterford Pilot Training College which left hundreds of trainee pilots stranded in Florida after taking up to €80,000 in tuition fees from them is being investigated by the Office of the Director of Corporate Enforcement (ODCE).

A complaint concerning breaches of company law by Waterford Pilot Training College (PTC) was referred to the ODCE, according to the Department of Transport last night.

The ODCE is not allowed to reveal the identity of complainants and last night the Department of Transport said they did not have any further details about the referral.

Earlier yesterday, the Irish Examiner contacted the Irish Aviation Authority to see if it intended referring PTC Waterford to ODCE but the body said “they had nothing further to add” having made an appearance at the Dáil Transport Committee on Wednesday.

At the committee, IAA chief executive Eamonn Brennan had gone so far as to say “it looks like this should probably go to the Director of Corporate Enforcement”.

Mr Brennan has repeatedly denied that PTC’s collapse was due to a failure of regulation on the part of the IAA. He said the IAA’s remit is to ensure and regulate flight safety and not oversee the general financial health of a flight training company.

He told the Dáil committee “we need to get the principals of the company in here” and the company’s auditors need to answer questions “if we can’t place reliance on audited statements” presented to the IAA just months before the company went under.

The Minister for Transport Leo Vardakar said in the Dáil earlier this month that if there are issues for the ODCE, he “would expect the IAA to make a referral to the relevant authorities”.

Twenty years ago, the European College of Aeronautics in Cork collapsed leaving another group of students high and dry.

IAA director of safety regulation Kevin Humphreys admitted this week that recommendations made in a report to the Department of Transport following the collapse of the privately-run European College of Aeronautics in Cork “had not been taken on board” at national level.

He said many in the airline industry and educational institutions had not supported such moves.

Fianna Fáil deputy Timmy Dooley said yesterday that Mr Varadkar has a “moral responsibility” to refund the students as PTC was backed by the IAA and also had been backed by Enterprise Ireland through a €418,000 investment.

The Dáil Transport Committee yesterday agreedto a full and forensic investigation into the collapse of PTC. The IAA had earlier likened the financing of the company to a Ponzi scheme.