Chamber of Deputies approved the start of an investigation at the national air carrier TAROM
On March 20, 2019, the plenary of the Chamber of Deputies approved the request of several deputies, members of the Transport Commission, to launch a parliamentary inquiry into the national air transport company TAROM, with the aim of verifying how the company’s management fulfilled its performance objectives during the 2017-2018 period, as well as verifying financial activities, acquisitions, investments, and fleet structure, including the method of disposing of two aircraft last year.
The deputies’ investigation comes after Prime Minister Dăncilă requested the Prime Minister’s Control Body at the end of January to investigate TAROM regarding the circumstances in which two Airbus A310 aircraft were sold last year. Upon the approval of the investigation in Parliament, Deputy Marius Bodea, secretary of the Transport Commission in the Chamber of Deputies, stated that TAROM could lose its air operator certificate issued by the Romanian Civil Aeronautical Authority in the coming days because the Government caused a crisis in the company’s management.
Parliamentarians also want to investigate how the two aircraft owned by TAROM were sold, but they also want to check utility and service contracts, the status of social capital and assets, cash flow, the investment plan, or acquisitions made by TAROM.
Additionally, the inquiry commission will verify how TAROM’s management fulfilled the objectives in the management contract, and even how the company’s heads complied with the provisions of Government Emergency Ordinance no. 109/2011 on the corporate governance of public enterprises.
At the end of the checks, the conclusions will be presented to the Prime Minister and, as the case may be, will be communicated to the competent institutions for the ordering of the necessary legal measures, the Executive further shows.
Source: Profit
Frequently Asked Questions
Why is TAROM being investigated?
The investigation focuses on management performance, financial activities, and the controversial sale of two Airbus A310 aircraft between 2017 and 2018.
What risks does the airline face according to the inquiry?
There are concerns that TAROM could lose its Air Operator Certificate due to a management crisis attributed to government actions.
What specific areas will the parliamentary commission examine?
The commission will review utility contracts, cash flow, investment plans, and compliance with corporate governance regulations (OUG 109/2011).