Advice on how to claim a refund is being offered to passengers who had booked flights with Citywing.
The Civil Aviation Authority tweeted that Citywing is not covered by the ATOL Protection scheme.
It said passengers wishing to obtain a refund for unused tickets will need to contact Citywing directly.
’Passengers who booked directly with the company via either a credit, charge or debit card may alternatively be able to make a claim against their card provider,’ the CAA tweeted.
’Some card providers will ask for a negative response letter confirming the position. Passengers may also be able to make a claim against their travel insurer.’
The CAA said holders of Citywing tickets on the relaunched Newcastle and Belfast routes should contact Eastern Airways directly.
In respect of Cardiff-Anglesey services, the Welsh Government has put in place arrangements to allow ticket holders on that route to travel.
Advice has also been offered by the island’s Office of Fair Trading.
It said this is an evolving situation, but passengers who have paid by credit card or debit card may, depending on their particular circumstances, be entitled to a refund.
Guidance on this can be found at http://www.which.co.uk/consumer-rights/advice/how-do-i-use-chargeback#chargeback-vs-section-75.
You will need to make contact with your card provider as soon as possible.
Passengers are also advised to check their travel insurance – the air operator had actually advised its customers to take out travel insurance in its terms and conditions.
Travel insurance may cover events such as a company going into liquidation
The OFT added: ’Contact Citywing directly to find out what you need to do to progress a request for a refund.
’Monitor developments through media releases by Citywing, the Department of Infrastructure (IOM Airport) and the Civil Aviation Authority.’