US airline faces $US50m lawsuit related to CNMI ‘flights‘

Florida-based XTRA Airways is facing a $US50 million racketeering lawsuit in federal court lodged by five Northern Marianas businesses and a group of Chinese tourists.

Photo: Supplied./ Mark Rabago

The lawsuit alleges the carrier engaged in a fraudulent scheme by pretending to participate in a plan to bring vacationing tourists from China to Saipan via charter aircraft, but failed to take the steps necessary for it to succeed.

Eleven of the 21 tourists behind the action said they were “stranded” in the CNMI last year.

They said they traveled from China to Saipan via the airline prior to 4 November, and were scheduled to return to China on or after that date, but instead were allegedly abandoned by XTRA on Saipan.

Ten other tourists alleged they had booked and/or paid for flights on XTRA Airways charter flights.