FEET BACK on the ground. In an unforgiving recession that has led to a collapse in demand for many trappings of the luxury lifestyle, Ireland’s best-known helicopter company has ceased its charter service.
Celtic Helicopters, controlled by businessman Ciarán Haughey, returned its air operations certificate to aviation regulators yesterday.
The firm now plans to focus on hangaring services for helicopter owners who are mothballing aircraft to curtail their day-to-day outgoings.
The firm offered business travel and aerial photography services, as well as pleasure trips, golf tours and transfers to race meetings.
Although helicopter trips became a symbol of spectacular wealth accumulation in the boom times, they are no longer in vogue. The chopper, for example, was a favoured mode of transportation among property developers. Now many members of that community are under considerable fiscal strain. Celtic is making five staff redundant as a result of the decision to halt charter services, but it will continue to employ another eight.
The business was established in the mid-1980s when Mr Haughey’s late father, Charles J Haughey, dominated Fianna Fáil. The company had been used by the former taoiseach as a vehicle to transmit and disguise direct payments he received.
Celtic’s aircraft were a frequent presence at big social and sporting events such as the Galway Races and rock concerts in Slane Castle. But, as the economic contraction bites, Ireland’s elite are no longer shuttling around in the air.
With the cost of one hour’s travel in a large chopper put at €3,500, it is an expense that many frequent flyers can no longer bear and one that others don’t wish to be seen to incur.
In a statement, Celtic Helicopters said it would continue to provide hangar facilities, helicopter leasing and special event management services. The firm recently completed construction of a 16,000 sq ft hangar which will house up to nine very large helicopters or 20 smaller aircraft. There was no further comment.
In 2006, the Moriarty tribunal said in a report that a number of prominent businessmen gave significant funding to Celtic Helicopters when Charlie Haughey was at the height of his political power. Those who contributed included Dr John O’Connell, owner of a lucrative medical publishing firm and, later, a minister for health. Others included hotelier PV Doyle and businessmen Séamus Purcell, Cruse Moss and Joseph Malone.
Celtic made a €689,945 tax settlement with the Revenue in 2006. In accounts signed off three months ago, Celtic was said to have incurred a loss in the year to March 2008 and had a deficit of €615,190 in its profit-and-loss account. Its share capital rose to €739,221 from €530,221.
