Chopper grounded as receivers called in

Helipro holds the exclusive landing rights on Mt Tarawera. Photo / File

The Rotorua-based Helipro helicopter is grounded after the company put itself into receivership, potentially owing tens of millions of dollars.

The voluntary receivership came about due to cashflow problems caused by a lack of anticipated work.

Helipro currently holds the exclusive landing rights on Mt Tarawera but PwC partner John Fisk said it was too early to say whether the contract would be up for grabs.

"We are hoping to preserve as much business as possible and will be reviewing the situation over the coming days to evaluate the best way forward."

Mr Fisk and David Bridgeman were appointed as receivers on Tuesday to Rick Lucas Helicopters and related entities which trade as Helipro, at the request of the companies' director. Mr Fisk said they had not determined the full extent of creditor claims, but the expectation was it would be in the "early tens of millions" of dollars.

The company's fleet of about 30 helicopters have been grounded by the receivers to ensure they are in compliance with civil aviation requirements, and that health and safety practices are up to scratch. "We cannot determine when the fleet or parts of the fleet will be flying again as it depends on the review and approval of the civil aviation requirements," Mr Fisk said.

Helipro employs about 70 staff, with eight bases throughout New Zealand and operations in Fiji and Australia.

Mr Fisk could not confirm whether there would be staff redundancies.

"We are looking for buyers to sell the business or parts of the business and are working to secure and preserve as much as we can."

Mr Fisk said they were yet to determine whether they would honour any prepaid vouchers for flight services.

Helipro was established in 1983, and grew from a single pilot/helicopter operation in Palmerston North to a fleet of over 35 helicopters and a fixed-wing operation.