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1991 - July DOT Ord. & Dec. [1] (July, 1991)

handle is hein.usfed/dotod0425 and id is 1 raw text is: Order 91-7-1 UNITED STATES OF AMERICA DEPARTMENT OF TRANSPORTATION OFFICE OF THE SECRETARY WASHINGTON, D.C. Issued by the Department of Transportation on the 2nd day of July, 1991 In the matter of SERVED JUL 2 1991 RYAN AIR SERVICE, INC. Docket 45503 for an emergency exemption pursuant to section 204.8 of the Department's Regulations ORDER GRANTING REQUEST Background Ryan Air Service, Inc., has been a certificated air carrier since 1982, providing scheduled air transportation of persons, property, and mail to a number of points within the State of Alaska. On January 29, 1988, Ryan voluntarily ceased operations, after it entered into a Consent Order with the Federal Aviation Administration (FAA), in order to bring itself into compliance with certain Federal Aviation Regulations. As a result of Ryan's cessation, its section 401 authority was automatically suspended under section 204.8 of the Department's rules. In March 1988, Ryan filed an application in Docket 45503 for an exemption from the requirements of section 204.8 and a redetermination of its fitness so that it could resume scheduled service. Our review of Ryan's fitness included the troubled compliance history that led to the FAA's Consent Order, which, among other things, directed the carrier to replace Mr. Wilfred Ryan, Jr., as President, and once removed, prohibited Mr. Ryan from exercising any control over, or attempting to influence any aspect of, Ryan's operations. Although the carrier replaced Mr. Ryan, certain key personnel remained in management positions that were present during Ryan's period of poor compliance. We were, therefore, concerned over Ryan's future compliance because of the continuing potential for influence to be exerted on these personnel by the company's former President given his continued ownership interest and long-time association with the current management team.

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