No state institutions within the executive, judicial, and prosecutorial systems display any concern regarding the fact that Montenegro’s valuable national asset—a passenger aircraft of the type “Embraer E195” (4O-AOC)—has been idle at Podgorica airport for nearly five years.

This summary compiles responses that “Vijesti” received from various state bodies tasked with addressing the status of this aircraft, which had an original cost of $44 million.

The aircraft, affectionately referred to as “Charlie,” has been out of service since December 2020, following the bankruptcy of the former national airline, Montenegro Airlines (MA), and is currently unprotected and stored improperly at Podgorica airport, exposing it to the elements. Its condition is deteriorating rapidly, and the Montenegrin government, as its officially recognized owner, shows no signs of taking action to mitigate further loss.

“Charlie” was acquired by MA in 2010 through a loan from the Brazilian bank BNDS, under which the airline paid a total of $38 million before its bankruptcy. Recently, the government settled the remaining $20 million owed to BNDS, as it had guaranteed the MA loan. If the government had not fully paid for the aircraft, it would have faced the possibility of returning “Charlie” to Brazil in optimal condition, losing all previously invested funds. Despite this, due to improper storage since its grounding in December 2020, the aircraft is in visibly worse shape. Substantial investment will be needed to restore it to operational status, but the government has not yet evaluated its condition or the necessary investments.

The Ministry of Transport has previously stated that “multiple options are being considered regarding the future handling of the aircraft,” but highlighted the need for a valuation assessment, which they describe as “administratively and financially complex,” requiring coordination between several state bodies.

Unofficially, the Ministry of Transport directed “Vijesti” to the Ministry of Spatial Planning, Urbanism, and State Property, which oversees the State Property Administration—the body responsible for this state aircraft.

The Administration has not responded to specific questions posed by “Vijesti,” only noting that it did not participate in the aircraft’s purchase. Additionally, the Protector of Property and Legal Interests of Montenegro has shown little interest in the matter.

“The Protector represents state bodies, which do not possess legal entity status, in various proceedings, and thus, we do not manage state property. The State Property Administration is responsible for state assets as per the Law on State Property, so your query regarding the aircraft should be directed to them,” stated Bojana Cirovic, the Protector of State Property Interests.

As state authorities continue to shift responsibility, the State Prosecutor’s Office has also shown a lack of concern regarding the neglect and deterioration of this state asset, which warrants legal examination. The Supreme State Prosecutor’s Office informed “Vijesti” that inquiries related to “Charlie” should be directed to the relevant prosecutor’s offices.

We posed identical inquiries to the Basic and Higher State Prosecutor’s Offices in Podgorica regarding whether they have initiated any actions regarding the (in)actions of state authorities that may represent criminal offenses, including “negligent work in service” and “abuse of official position,” particularly since April 2024, when the aircraft officially became state property. Due to its extended neglect and deterioration while stranded at Podgorica airport, significant damage to public property has occurred. We further inquired about any measures taken, or reasons for inaction.

The Podgorica ODT responded that “no cases have been opened in this matter.” Conversely, the Higher Prosecutor’s Office provided vague responses regarding its interest in “Charlie” and the actions of the authorities.

“The Higher State Prosecutor’s Office in Podgorica acts on all reports submitted, assessing if any individual’s actions contain elements of criminal offenses within its jurisdiction. If necessary, the public will be promptly informed,” the office stated.

“Vijesti” remains in anticipation of responses from the Special State Prosecutor’s Office (SDT) about any involvement in the “Charlie” case, as the SDT is responsible for prosecuting high-level public officials for abuse of power.

The last flight of the aircraft occurred on December 26, 2020, from Tivat Airport to Podgorica Airport. It also marked the final flight for “Montenegro Airlines,” as the management announced a cessation of operations due to lack of funding.

At the time of its last journey, the plane was completely functional and safe to fly, raising questions about its subsequent deterioration that necessitates millions in repairs to restore it to serviceable condition.

In 2021, the MA bankruptcy administration reported several instances of “unauthorized individuals” accessing “Charlie” at the Podgorica airport and allegedly removing parts. They pointed fingers at the new national airline, AM, which denied these accusations. Photographic evidence from that period showed that the left engine had been removed, without clarity on its current whereabouts, and that blown tires on one side caused the aircraft to sit unevenly.

“Air Montenegro” Lacked Funds for “Charlie”

The newly established state airline, “Air Montenegro,” previously expressed interest in acquiring this aircraft. In June 2021, the government permitted it to utilize its founding capital to buy the “Embraer E195” from Brazilian banks for $195 million. However, after realizing that an additional eight million euros would be necessary to restore the aircraft, “Air Montenegro” abandoned the initiative due to insufficient funds.

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