GR 240
EN GLAIR
FM HONG KONG 220445Z
UNCLASSIFIED
HKK Bull
(223
SUNOR CORY
7.4 APR 1978
ALEFICER
No
REGISTY
Action Take
TO PRIORITY WASHINGTON TELNO 4 OF 22 APRIL 1978
INFO F C 0.
YOUR TELNO 9: LANDING RIGHTS IN HONG KONG.
s
See 224
NOMADS INC. HAVE APPLIED TO OPERATE A NON-SCHEDULED OWN-USE FLIGHT THROUGH HONG KONG WITH A CV999 AIRCRAFT CARRYING 134
PASSENGERS.
2. NON-SCHEDULED COMMERCIAL FLIGHTS ARE NORMALLY APPROVED SUBJECT
TO, INTER ALIA, THIRD PARTY INSURANCE COVER IN THE AMOUNT OF AT LEAST US DOLLARS 150 MILLION BEING PROVIDED. THIS ARISES
FROM THE AIRPORT BEING SITUATED ADJACENT TO A HEAVILY POPULATED AREA WHERE AN ACCIDENT WOULD INVOLVE VERY LARGE CLAIMS INDEED.
3. NOMADS INC. CLAIM EXEMPTION FROM THIS REQUIREMENT ON THE GROUNDS OF BEING A NON-PROFIT MAKING ORGANISATION AND ASK THAT US DOLLARS 5 MILLION (NOT US DOLLARS 50 MILLION AS REPORTED IN YOUR TELNO 8) COVER BE CONSIDERED AS ADEQUATE. WE ARE NOT CONVINCED THAT NOMADS IS NON-COMMERCIAL AND WE HAVE ASKED THAT THE ARTICLES OF ASSOCIATION, CLUB CONSTITUTION, ACCOUNTS, ETC.,
BE PROVIDED TO ESTABLISH THE STATUS OF THE ORGANISATION, THE FACT
OF THE MATTER IS, OF COURSE, THAT WHETHER THE CLUB IS A COMMERCIAL VENTURE OR NOT, THE RISK ELEMENT MUST BE AT LEAST AS HIGH AS A MORE NORMAL NARROW-BODIED PASSENGER CHARTER, AND THIRD PARTY COVER OF US DOLLARS 5 MILLION IS PATENTLY INADEQUATE.
4. THE REQUIREMENT FOR THIRD PARTY COVER WAS INTRODUCED SINCE
THE PREVIOUS FLIGHT TO HONG KONG BY NOMADS.
ROBERTS
FILES
HK OG D (6)
MAED.
MR MURRAY MRBURROWS