Sierra Academy T.U.

[CFI'er]

I smell a rat at what Sierra is doing. I was at ATA when they had new constriction, and they did not shut down. We had some classes delayed, but the school, ATA, did not shut its' doors. ATA moved during the weekends. If Sierra's management were honest, they would have rented portables, off site class space, or something along this line. To totally close for a month is not good business-sic. It is poor management. Just read the quote from the notice letter:

"but are without workable options. Our staff has been advised that it is impossible to be involved with moving and remodeling while trying to continue with flight operations. The buildings must be vacated to help the process and ensure the safety of all. " What a line of big BS double piled and smelly.

Now, how many new students would hold back enrolling a month or two if they got wind of this closure? Probably a lot, and this is the Catch-22. In order for a flight school to remain in business, they need cash flow and a slow couple of months could just close them down. It seems odd that management chose the month of December to close. Is it because this is traditionally the lowest enrollment month? And this is the answer, I thinks. A lot of students still want to spend Xmas with family. Just wait till they get that low seniority number airline pilot seat and end on the line during the holidays stuck in some hotel watching reruns and bowl parades. It will be a new experience and I wonder how many are prepared?

 

[Stifler's Mom]

CFIer,

Is that the same ATA from KORL? If so, is there anything new to report about the lawsuits and such?

Just curious if it is the same ATA...I know alot of people got screwed big time by them closing shop.

 

[CFI'er]

Yep, that be the place. I just received another notice of a court hearing to release some of the court held moneys for attorney’s fees. This is the third notice of a hearing. I'm on the creditors list. The only people to get any money out of the ATA mess are the attorneys. There are ATA aircraft at the airport, sitting right where they were when the academy closed down in February. I don't understand why it is taking so long to sell the equipment. If the repo man can take a car in the middle of the night, without a court order, then why can't the court take the aircraft and sell them? The aircraft are owned outright by the former academy. It is not title held by another entity. Hey, all of you Legal Beagles out there, do you have any answers?

 

[SierraPilot]

I can tell you as a former Repo guy, that once a person or company declare bankruptcy all assets are under the protection of the court and Repo company can not touch their assets without a court order to do so, regardless of what the creditor may want (ie: repo the stuff).

I suspect that since their are many people who want money from ATA that the court has put all the assets under the protection of the court and has a legal obligation to hear all claims for this money before deciding what goes to who. I can tell you right now this is a long process and the longer the list the longer the process.

Ryan