Judge Burton Kolko granted a motion by FedEx to postpone the hearings, which began Aug. 26 and were scheduled to resume Sept. 23 after a recess of several days. FedEx lawyers said the extra time was needed because DHL Worldwide Express and its affiliates had yet to produce documents related to the sale of DHL Airways and communications between the two related companies (now Astar), as required by previous subpoenas, that are necessary for cross-examining witnesses.
'DHL's conduct appears to be part of a deliberate effort to obstruct this proceeding and prejudice the Department's investigation of DHL Airways'/Astar's citizenship,' FedEx counsel Jeffrey Kelsey wrote Kolko. 'It is inconceivable that DHL does not have possession, custody or control of the documents covered by the subpoenas.'
The delay in the proceedings raises questions about whether Kolko will be able to complete recommendations on whether Astar violates U.S. controls on foreign ownership and control of airlines to DOT decision makers by a Dec. 1 deadline.
The case is part of a long-running dispute between FedEx, United Parcel Service and others on one side, and DHL Worldwide Express and its parent Deutsche Post, about whether DHL Airways/Astar is circumventing U.S. rules or whether the company is competing legitimately in the U.S. express package delivery market. 1
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The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowThe night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowIndustry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now