British Airways has initiated legal proceedings against Ground Services International (GSI), a subsidiary of the Emirati firm dnata, following the mysterious loss of nearly 20 pounds of gold jewellery valued at millions.
The legal dispute stems from an incident in July 2023, when a consignment from Bahraini jeweller Al-Arefi Jewelry, intended for transportation from Bahrain to Chicago, vanished upon arrival at O’Hare International Airport.
In an attempt to recoup losses, British Airways lodged a lawsuit in a Chicago court last October, demanding compensation exceeding $1.2 million.
The airline contends that GSI, which operates ground-handling services at various U.S. airports, did not adequately secure the shipment. The lawsuit further claims that two GSI employees have been prosecuted in relation to the theft.
Adding to British Airways’ legal woes, Al-Arefi Jewelry successfully secured a judgment in Bahrain, ordering the airline to pay approximately 153,000 dinars (around $406,000).
After GSI declined to compensate for the loss, British Airways escalated the matter to the U.S. courts.
British Airways is now seeking to enforce the Bahraini judgment and is additionally pursuing over $700,000 in consequential damages and more than $100,000 in legal expenses.
A settlement conference is scheduled for February 11, as per court documents.
The lawsuit underscores significant concerns over the handling of high-value cargo and the potential ramifications of security lapses.
As the legal proceedings advance, the upcoming settlement conference will be pivotal in determining whether British Airways and GSI will amicably resolve their dispute or continue their courtroom confrontations.