Ten months after the bankruptcy of the tourism giant FTI and its subsidiary Big Xtra, the consequences continue to resonate strongly in southern Gran Canaria. Thousands of travelers, many of them from Austria and Germany, have found themselves trapped in a labyrinth of bureaucracy and silence, with no refunds, no clear explanations, and a growing sense of abandonment.
The Travel Agencies Association of the Austrian Federal Economic Chamber (WKO) has strongly condemned the actions of the German Travel Insurance Fund (DRSF). "The treatment of those affected is inadequate, opaque, and, in many cases, unacceptable," says Gregor Kadanka, president of the association. And in destinations like Gran Canaria, this discontent is palpable on the ground.
The blow to a key destination
Since FTI's bankruptcy, many hotel complexes in southern Gran Canaria have had to deal with massive cancellations, unpaid reservations, and customers who, overnight, were left in the dark.
“In June of last year, we suddenly found ourselves with families who had paid for their entire vacation package and no one wanted to accommodate them because it wasn't clear who would pay the bill,” says a hotel receptionist in Meloneras. “Now, almost a year later, there are still guests demanding their money back, and we're trying to respond without any answers.”
Agencies, hotels and broken trust
Travel agencies in Austria claim to have submitted all the information required by the DRSF, but report duplicate applications, impossible deadlines, and almost nonexistent customer service. This has strained relations with Canary Islands establishments, which have often had to bear the costs or lose bookings.
"The suggestions we made from Austria to streamline the process were completely ignored," Kadanka explains. For the agencies, the loss of prestige is twofold: they lose money and also the trust of their clients.
The image of the Canary Islands, at stake
Southern Gran Canaria relies heavily on European tourism, especially from German-speaking countries. The lack of a solution to the FTI case affects not only the travelers involved, but also the reputation of vacations in the Canary Islands.
"A tourist who doesn't receive a refund is unlikely to rebook at the same destination. And when that number increases by thousands, it becomes a structural problem for our economy," warns a representative of the local tourism sector.
An unresponsive fund
The German Travel Insurance Fund, created specifically to protect travelers in cases of insolvency, has failed—according to agencies and those affected—in its mission. Kadanka is blunt: "It's a system that doesn't protect, that doesn't respond, and that leaves the most vulnerable paying the price of its ineffectiveness."
