Embattled regional airline Bonza has gone into administration after cancelling flights across the country on Tuesday and stranding potentially thousands of passengers.

Documents filed with the Australian Securities and Investments Commission (ASIC) reveal Bonza Aviation Pty Ltd was at 3.25pm declared “externally administered”, with accounting and advisory firm Hall Chadwick appointed to the role.

In a media release on Tuesday afternoon, Hall Chadwick confirmed Bonza’s fleet would be grounded until Thursday, May 2.

Virgin Australia, Qantas and Jetstar have offered complimentary seats, where available, on their flights to passengers stranded mid-journey on Tuesday.

Bonza chief executive Tim Jordan released a statement on Tuesday morning saying all services would be “temporarily suspended” while discussions were held about the ongoing viability of the business.

The airline has not responded to requests for comment, but has published a statement on its website and app apologising to affected customers.

“We’re working as quickly as possible to determine a way forward that ensures there is ongoing competition in the Australian domestic aviation market,” the statement reads.

Early Bonza flights in and out of its base on Queensland’s Sunshine Coast, along with Melbourne legs to Rockhampton, Gladstone and Tamworth, were all cancelled on Tuesday morning.

Three Bonza planes were parked on the tarmac at Sunshine Coast Airport on Tuesday, including a Boeing 737-MAX aircraft named Bruce, which had been leased from Canadian low-cost airline Flair to fly in Australia.

Bonza’s financial position has been the subject of intense speculation since its first flight early last year.

“The discussions regarding ongoing trading are occurring over the forthcoming days and the administrators will be in a position to update all stakeholders as the matter progresses,” Hall Chadwick said.

Passengers stranded

Rona Wall caught a shuttle bus to the Sunshine Coast airport early on Tuesday morning hoping to catch a flight to Rockhampton, after her scheduled Bonza flight from the Gold Coast was cancelled on Monday.

She said she received multiple correspondences from Bonza about a rescheduled flight, which created a lot of confusion.

“I’ve got a text message that was in my younger daughter’s name, and an email, and also [a message] on the app,” Ms Wall said.

“All three notifications were for three different flights.”

Nicole Morris was due to fly from Melbourne to Rockhampton on Tuesday with Bonza but was told her flight had been cancelled when she arrived at the airport.

“It’s crap, I don’t know what I’m meant to do,” Ms Morris said.

Bonza said affected passengers had been told they would receive a full refund.

The federal Transport Department has set up a hotline for stranded passengers on the number 1800 069 244, which will operate until 10pm.

‘They were told Bonza has finished’

A Sunshine Coast man whose wife works for the airline told the ABC about 20 cabin crew were called into a meeting early on Tuesday morning.

“There were two crews there — they were just basically told that Bonza has finished,” he said.

“They’ve been told that they’re not flying until further notice.

He said the news was a blow for staff and the region.

“They’re pretty devastated. It’s their job. She’s been in it from day one. It’s a bit of a blow for Maroochydore and the Sunshine Coast,” he said.

History of cancellations

After months of delay, Bonza was given the go-ahead to start flying regional routes from the Sunshine Coast in January last year.