Man With Checkered Past Turns To Crowdfunding To Launch New Airline
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MIAMI (CBSMiami) – A Las Vegas man was in South Florida is attempting to launch a new airline. He is planning $19 airfares, free WI-FI and bags fly free. Sound too good to be true? CBS4's David Sutta thought so and looked into it.
Sutta first caught up with Barry Michaels this summer in Downtown Miami.
Michaels was on stage wearing a polo shirt that proudly read 'Avatar Airlines.'
Of everyone in the state taking part in the panel discussion, Michaels seemed to revel in the fact he was the anti-airline.
"The airline is quite different than any other airline," he told the audience.
Michaels was at the Aviation Festival pitching his new airline concept: Avatar Airlines.
"You'll see free bags and free Wi-Fi, and very, very low fares. We are talking right now if you buy a ticket 30 days in advance, the highest fare we have is $99," Michaels explained.
Ninety-nine bucks gets you from Miami to Hawaii. Most people would ask, where do I sign up?
After the conference, Sutta asked him just how is this possible.
Michaels went right into his pitch.
"If it's up to me, an airplane will look like a Pepsi bottle with Frito-Lay on the tail and they'll pay us $300,000 a month for that," he explained.
Essentially he wants your airplane to look like NASCAR.
"You can go into the lavatory and see an ad for Charmin," he laughed.
Crazy? Maybe. But is it possible?
Travel Consultant Henry Harteveldt told CBS4, "This isn't a bad idea. It's a ludicrous idea."
Harteveldt is critical because the plan uses a fleet of jumbo jets.
"There is certainly more demand in the market for more airline capacity. And competition always helps the consumer. But to fly big expensive 747's around is just not a good idea. Plus Mr. Michaels seems to have a checkered history when it comes to trying to raise money and run businesses," he said.
A look into Michaels' past shows he tried to launch a similar airline twenty years ago, named 'Family Airlines.'
Early investors ponied up $5 million, but the airline never took off.
Michaels' ended up convicted on felony charges after investigators discovered he used the money to fund a lavish lifestyle. It included $50,000 for a deposit on a house, along with a his and her Mercedes-Benz.
CBS4 asked Michaels if he had any background in aviation.
"Well, I've been following it for 24 years," was his response.
Sutta pressed him for more information.
Michaels added, "I started an airline once before. I got bought out."
More like locked up.
Yet 20 years later, with a new name for his airline, he's back to raising money.
This time he's using crowd funding on his website.
"We are at the money stage right now. We hope to raise $300 million and own our own aircraft," Michaels said.
A few weeks after the interview, Michaels was confronted by CBS4's sister station in Las Vegas, KLAS.
Michaels explained, "I made a mistake 20 years ago. I paid the price. I moved on. I've got so many great accomplishments. I've been a model citizen for the last 20 years. I created an airline that the public will love. The public wants. And that they deserve it."
His dedication is admirable. But reality may keep him grounded.
Between his past and his plan, aviation experts call his prediction to be flying by next summer highly unlikely.
Despite the criticism he maintains, "This airline will fly."
CBS4 learned Michaels recently filed in Nevada to run for congress, again.
He lost in a 2012 run with just a little over 8 percent of the vote.