Iraqi Airways shuts down after dispute with Kuwait over aircraft theft

State owned Iraqi airlines has been forced to declare bankruptcy. The airline had been around for decades, and when they tried to restart operations with regular Baghdad-London operations, they ran into a nasty reminder of their past.

Upon landing at London’s Gatwick airport, the airline was confronted by lawyers representing the state of Kuwait. Apparently, the Iraqi’s had helped themselves to aircraft and aircraft parts during the 1990 invasion of Kuwait.

With a bill of over $1.2 billion, Iraqi airlines had no other option than to declare bankruptcy.

Because Iraqi airlines chartered its planes from other air carriers, the Kuwaiti authorities were not able to confiscate them. In the coming days, the airline will cease all flights. The Iraqi government calls the claims by Kuwait “harassment”, but they don’t seem to be denying the claims of theft from 20 years ago.

(Image: Getty Images/AFP)