Creditors set to sell Clive Palmer’s PUP plane

A $40m jet emblazoned Clive Palmer’s party seal is set for auction as creditors chase tens of millions of dollars.

Creditors are selling Clive Palmer’s jet to chase tens of millions of dollars in fees and investments.

A $40 million private jet emblazoned with the seal of Clive Palmer’s political party is set for auction as creditors of the self-proclaimed billionaire’s insolvent aviation business chase tens of millions of dollars in fees and investments.

It is understood the jet — a Bombardier BD-700-1A10 Global Express Mr Palmer bought in June 2012 for $40m — is the only asset of Palmer Aviation, which was placed into voluntary adminis­tration last week.

A handful of creditors met in Sydney yesterday to discuss what to do with the assets of Palmer Aviation, whose sole director is Mr Palmer’s nephew Clive Mensink.

The Weekend Australian understands the purchase of the jet — worth up to $34m second-hand and registered in the tax haven of the Isle of Man — was primarily funded by GE Commercial, which is now pursuing Palmer Aviation for tens of millions of dollars. A handful of other creditors, including companies providing services such as fuel, maintenance and storage, are also claiming fees.

GE Commercial has form chasing former billionaires: last year it applied to bankrupt former coal billionaire Nathan Tinkler over ­almost $2.8m owed from the forced sale of his luxury jet.

Yesterday, the Palmer Aviation administration meeting did not appoint a committee of creditors because only five are involved in the process. FTI Consulting has been appointed the administrator.

The Bombardier Global Express carries the Palmer United Party seal and a blue livery similar to that of the US presidential jet. The 19-seat, twin-engine plane features a spacious cabin and a range of up to 6700 nautical miles.

Flight records show it most recently flew from the Gold Coast to Sydney on January 22. It is now understood to have been secured by the administrator and is in a hanger at Sydney Airport.