TAP Airbus seized in Brazil

tap2TAP says there is no risk that its Airbus A330 will be seized, but the Brazilian court’s decision stands – pay up or lose the aircraft

The dispute centres around two employees at the Portuguese Embassy in Brazilia who claimed in court that they had not been paid money owed to them, and the court agreed.

As a result, in January 2013, the Brazilian Justice Department placed a seizure order on one of TAP's aircraft as collateral for the payment.

The deadline for payment ends on April 24th. The debt is almost $500,000 but TAP representatives continue to insist that "the TAP legal departments in Portugal and Brazil remain firm in saying that there is no risk of repossession of the aircraft," and that they "know of no such information."

The spat has escalated and now involves diplomacy at a high level with an official source at Portugal's Ministry of Foreign Affairs stating that "the matter is being properly handled by the Ministry, in conjunction with the Ministry of Finance."

The deadline stands, the debt is lodged in court and unless the money is paid the Airbus will be auctioned off.