Thanks for the update. I may have to consider flying commercial on my next trip if this keeps up.
Tahir Cheema is the sole shareholder of petitioner, a Delaware corporation not engaged in any business activity, and Grand Aire, a Michigan corporation engaged in the business of air cargo transportation. Prior to June 23, 1994, aircraft used for cargo transport was subject to the Michigan use tax. (Aircraft used in passenger flights by domestic carriers, however, was exempt under MCL 205.94;
GRAND AIRE INC. Bank says firm diverted over $2M owed on loans
By JOE MAHR and MARK REITER BLADE STAFF WRITERS Hampered by a tough economy and two high-profile plane crashes, an air-cargo charter company based at Toledo Express Airport is now accused of improperly diverting more than $2 million owed on defaulted bank loans.
Beyond detailing the accusation against Grand Aire, the court documents detail the extent of financial problems at the once-robust charter firm, whose immigrant owner, Tahir Cheema, had risen from a poor college student to an award-winning entrepreneur with a $900,000 Perrysburg home.
Grand Aire was dealt another setback when two of its planes crashed on the same day, April 8, 2003. One crash on approach to Toledo Express Airport killed three pilots. Two other pilots were hurt when their plane, reportedly low on fuel, crashed into a river near St. Louis.
Except for the 2001 terrorist attacks, no airline ever had two planes crash on the same day.
A year after the crashes, on April 22, the company agreed to liquidate all but five airplanes and other equipment to pay off $9.9 million in principal and interest owed on seven loans or leases by either Mr. Cheema, Grand Aire, its subsidiaries, or a related company called Snowflakes, court documents said. Four days later, on Nov. 8, the consulting firm told National City that Mr. Cheema diverted more than $2 million of the company's receivables, the bank's complaint states. Link to Full Article