No Govt profit from Ansett ticket levy, says Andrews

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No Govt profit from Ansett ticket levy, says Andrews

The Australian Government has not made a profit from its Ansett ticket levy which was introduced after the company went into receivership, Workplace Relations Minister Kevin Andrews said.

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The Australian Government has not made a profit from its Ansett ticket levy which was introduced after the company went into receivership, Workplace Relations Minister Kevin Andrews said.

Andrews was speaking after Ansett Administrators, KordaMentha, announced a further dividend payment to former Ansett employees.

He said with this dividend, former Ansett employees will have received a total of $650.5 million in entitlement payments, of which $382.9 million was advanced by the Australian Government under its Special Employee Entitlements Scheme for Ansett group employees (SEESA).

Under SEESA, all terminated Ansett employees have received 100% of their outstanding wages, annual leave, long service leave, pay in lieu of notice, and up to eight weeks redundancy pay, Andrews said.

No money

'Despite recent reports in the press to the contrary, the Government has not "profited" from the Ansett collapse,' Andrews said. 'If the Government had not stepped in to assist the ex-Ansett employees from the outset, they would have received no money until December 2003 when the Administrators made their first distribution.'

Andrews said the Ansett ticket levy was set up to meet the costs of payments and not pay the entitlements directly as has been claimed.

'Any surplus from the ticket levy will be used for the benefit of aviation and the tourism sector, including a commitment to improve security for regional airports.' He said.

Surplus

'The amount of surplus is yet to be determined but is nowhere near the $200 million that has been reported.'

Andrews said any distribution by the Administrators reflects the legal obligation of the Administrator to distribute funds in accordance with s556 of the Corporations Act.

'The Government will not be fully repaid by the Ansett Administrators unless all former employees are also paid any outstanding redundancy entitlements over and above SEESA,' he said.


  

 

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