A petition has been filed in Tel Aviv's District Court by eighteen Trans World Airlines' employees in Israel, some of whom are retired. The TWA staffers are seeking the ex parte appointment of a temporary receiver, as the airline has already filed for bankruptcy says a report in Israeli newspaper
The petition points out that TWA is in Chapter 11 proceedings in the United States, and is to be sold to American Airlines for $742 million. American will also take on TWA's debt of $3 million. Although the former TWA transatlantic route was considered an attractive one, American Airlines has already announced that it will not buy TWA's Israeli services. It is believed that the reason for this is American's desire to avoid paying off TWA's employees, who are the company's only significant creditors in Israel.
In their petition, TWA's 102 employees and pensioners in Israel claim they will be left without jobs and that no one will finance their severance and pension benefits. In total the staffers say they company's obligations to them come to $13 million.