ADM Policy IATA BSP

1. GENERAL PROVISIONS

1.1. This document serves as the official ADM (Agency Debit Memo) and ACM (Agency Credit Memo) policy of the Company. It governs the issuance of debit and credit memos to Agents accredited under the IATA BSP (Billing and Settlement Plan) system.

1.2. This document is based on:
- IATA Resolutions 850m (Industry Settlement System), 812 (Passenger Sales Agency Rules), 818g (Passenger Agency Conference Resolutions Manual), 866 (Filing Of Government Requirements And Authorizations) and 890 (Customer Card Sales Rules);

1.3. The airline's ADM policy outlines the specific circumstances and breaches of passenger sales regulations under which an Agent, accredited within the IATA BSP system, may be issued an Agency Debit Memo (ADM). The ADM serves as a formal notification to the Agent of their financial liability to the issuing airline, specifying the amount due and the underlying reasons for the issuance, as detailed within the ADM itself.

1.4. ADM serves as a standard accounting tool used to collect amounts or adjust transactions related to the issuance and management of standard transportation documents (tickets and EMDs).

1.5. The Company publishes and maintains its ADM issuance policy via BSP Link, which serves as the official platform for notifying Agents of any amendments to the airline’s ADM policy. BSPLink is the designated system through which all ADMs must be issued and through which Agents are required to submit any disputes.

2. PROCESSING AND HANDLING ADMISSIONS

2.1. The airline reserves the right to issue ADMs to the Agent for any violations committed during the booking process and/or the issuance of transportation documents on the airline’s ticket stock. Such ADMs may be raised to apply surcharges, penalty fees, or to rectify the Agent’s practices in accordance with standard ticketing procedures, irrespective of the operating or marketing carriers included in the itinerary.

2.2. ADMs must be issued within nine (9) months from the date of completion of carriage. In cases involving refunds processed by the Agent for tickets or EMDs, ADMs must be raised within nine (9) months from the date the refund was executed by the Agent. Any ADM-related actions initiated beyond these timeframes are to be resolved bilaterally between the airline and the Agent, outside the BSP settlement system.

2.3. Billed ADMs are settled through the BSP clearing process within thirty (30) days from the date of issuance.

2.4. Each ADM issued to the Agent shall include comprehensive details outlining the reason for the charge and a clear justification for the amount specified.

2.5. Unless otherwise explicitly agreed and stated, ADMs shall not be used to recover costs on behalf of third parties that are not directly associated with the original ticket issuance for the passenger’s itinerary.

2.6. The Agent must be provided with the contact details— including a telephone number and email address of the responsible person or department issuing or managing the respective ADM.

2.7. If an ADM is issued by the airline in relation to an erroneous transaction and includes administrative costs incurred in its issuance, such charges must be incorporated into the same ADM. In this case, the Agent shall be clearly informed of the inclusion and amount of the administrative fee reflected within the ADM.

2.8. An ADM relates to a specific transaction only, and may not generally be used to group unrelated transactions, except that more than one charge can be included on one ADM if the reason for the charge is the same with a supporting list provided with the ADM.

2.9 The Company will only issue more than one ADM in relation to the same original ticket, if different, unrelated charges apply. This does not apply when an ADM is cancelled and raised again for the same reason but for a different value.

2.10. No more than one ADM should be issued in relation to the same original ticket. If additional ADMs are required for the same ticket, they must be clearly identified as corrections or adjustments to a previously issued ADM associated with that ticket.

2.11. When an Agent utilizes an automated system to calculate the total ticket cost—including fare, taxes fees, and charges associated with the payment and issuance of the ticket—and does not manually intervene in the pricing, the fare calculation method indicator (FCMI) must be transmitted to the airline, in accordance with IATA Resolutions PSC 722f and 722g, to indicate that the fare was automatically calculated by the system. In the event an ADM is issued for such a ticket, the airline must ensure that the corresponding FCMI is provided to the Agent as part of the ADM documentation.

2.12. If an ADM is determined to have been issued in error, it must be promptly withdrawn and canceled. In such cases, any amounts invoiced—including administrative fees, if applied and collected—must be reversed and fully refunded to the Agent.

2.13. In cases where an ADM is withdrawn or the amount charged is reduced for reasons other than erroneous issuance, the application and handling of any associated administrative fees shall be subject to direct settlement between the Agent and the Airline.

2.14. If the issuance of an ADM is the result of an error caused by a malfunction or failure in the Global Distribution System (GDS), the Agent remains responsible for settling the ADM in accordance with the provisions outlined herein. The Agent must then pursue compensation directly with the respective GDS provider, without involving the Airline in the recovery process—except in cases where additional information from the Airline is required to support the Agent's claim.

2.15. Once an ADM has been submitted through BSP for billing, the corresponding amount becomes payable by the Agent. Any further disputes regarding the ADM must be resolved directly between the Airline and the Agent, outside the BSP dispute process.

2.16. In the event that IATA BSP revokes the accreditation of one or more branch offices of the Agent, the Airline reserves the right to issue the ADM to the head office of the Agent or to another branch office that remains accredited and is approved by BSP/IATA.

3. DISPUTE ADM

3.1. An Agent may dispute any ADM issued by an Airline, except in cases where the ADM is raised to recover credit card chargebacks, for which the procedures outlined in IATA Resolution 890 (Customer Card Sales Rules) apply. All ADM disputes must be submitted through the Dispute function within the BSPLink system, in accordance with established BSP procedures.

3.2. Agents must dispute an ADM no later than fifteen (15) days prior to its submission to the settlement system for inclusion in the Agent’s billing invoice. If an ADM is disputed within this specified timeframe, it will be marked as “challenged” in the system and will not be included in the billing invoice or issued for payment until the dispute is resolved.

3.3. When disputing an ADM issued by the Airline, the Agent must submit all relevant and supporting documentation to justify the dispute, in accordance with the provisions of IATA Resolution 850m. This may include, but is not limited to: reservation system records; applicable fare data at the time of ticket issuance—particularly in cases involving alleged fare miscalculation in the GDS; and detailed supporting documents explaining the grounds for the dispute. This is especially important when the ADM relates to missing evidence of the passenger’s entitlement to special fare conditions and/or situations involving involuntary exchanges or refunds.

3.4. All ADMs disputed or challenged by the Agent must be reviewed and processed by the Airline in a timely manner, within sixty (60) days from the date the dispute was submitted by the Agent through the BSPlink system.

3.5. An ADM dispute submitted by the Agent will be accepted for review by the Airline only if all required supporting documentation is duly attached to the disputed ADM in BSPLink. Failure to provide the necessary evidence will result in the rejection of the dispute, and the Agent shall be obligated to settle the ADM in accordance with the prescribed payment procedures.

3.6. During the review of a disputed ADM, the Airline reserves the right to request additional information or supporting documentation from the Agent as necessary to facilitate proper evaluation and resolution of the dispute.

3.7. If, during the review of a disputed ADM, it is determined that the original ADM was issued correctly, the Airline will notify both the Agent and BSP accordingly, and the initially issued ADM will be processed and included in the billing invoice. Conversely, if the review confirms that the ADM requires correction, the Airline will cancel the original ADM and issue a revised ADM reflecting the correct information. Only the corrected ADM will be processed and submitted for inclusion in the billing cycle.

3.8. If it is determined that the ADM was issued in error and the Airline accepts the Agent’s dispute, the ADM must be formally withdrawn and canceled in the BSPLink system.

4. ADM FORMATION LANGUAGE

ADMs issued through BSP must be prepared in English.

5. CONTACT INFORMATION

E-mail address: agent@centrum-air.com

6. PENALTIES

№
ADM Issuance Reasons
Penalties

Fare Discrepancies:
1
Excessive segment mixing or the creation of duplicate or repeated segments, which violate booking and ticketing rules.
30 USD per duplicate segment per passenger

2
Bookings using placeholder names (e.g., ABC/FGHJK), initials, or celebrity names without real passenger intent.
Illogical routings, such as overlapping segments or connections departing before arrival.
Creation of bookings with no genuine passenger intent, including:
Booking itineraries to block seat inventory.
Generating activity solely to meet GDS productivity targets or incentives without a confirmed passenger.
Inserting open segments (status codes like “OPEN”) for purposes unrelated to the sale or servicing of a ticketed itinerary.
Repeated booking and cancellation patterns suggesting speculative behavior.
High volume of bookings created and cancelled within 24 hours of departure without ticketing.
100% of the applied fare for each violation

3
Real-time bookings made for training, business tracking, or visa support purposes are considered test bookings and may result in ADM issuance if they misuse airline inventory.
50 USD per ticket

4
Churning
Regardless of the PNR, all booking and cancellation transactions created for the same passenger, the same flight, the same flight date at least 3 times or more will be called a "Churned Booking Transaction" and will be subject to ADM.
100% of the applied fare for each violation

Ticketing Errors:
5
Agents are required to regularly monitor their queues and remove all inactive segments from PNRs no later than 24 hours prior to departure. This includes segments with status codes such as HX, UN, UC, NO, SC, TK, US, PN, and WK.
Waitlisted segments that are no longer needed must also be canceled promptly. Once a desired waitlist segment is confirmed, all other pending waitlist segments must be removed.
100 USD, as well as reimbursement of all expenses incurred by the Company due to failure to inform the passenger

6
Unfixed bookings are reservations that have not been finalized using the End of Transaction (EOT) function. When held beyond a reasonable time without completion, such bookings block flight inventory and may prevent the Company (C6) from selling affected seats. Holding seats without creating a confirmed PNR is considered abusive behavior. An ADM will be issued for such violations.
100 USD per passenger segment.

7
During the booking process, the passenger’s valid contact details (email and/or phone number) must be accurately entered in the appropriate fields. If the airline is unable to contact the passenger due to incorrect or missing information, the issuing agency will be held responsible.
100 USD, as well as reimbursement of all expenses incurred by the Company in connection with the incident

8
Minimum Connecting Time (MCT) violation
100 USD, as well as reimbursement of all expenses incurred by the Company in connection with the incident

9
Ticket issued with violation of Carrier interline agreements
The amount of the loss

10
Issuing a ticket without first creating a PNR, or issuing a ticket for segments that do not have confirmed booking status in the PNR, is strictly prohibited.
20 USD per case (per passenger in PNR)

11
Creating a PNR without issuing a ticket less than 24 hours prior to flight departure is considered a violation, as it blocks inventory without confirmed revenue.
20 USD per case (per passenger in PNR)

12
Issuing connecting tickets in breach of the required coupon usage sequence is prohibited.
10 USD per case (for all tickets)

13
Absence or incorrect input of passenger passport data
20 USD per passenger

14
Specifying a baggage allowance on the ticket that does not match the allowance defined in the applicable fare rules or published tariffs is a violation.
The amount of the loss

15
Listing additional services (e.g., paid seats, baggage, meals) on the ticket that do not comply with current fare rules or service conditions is considered a violation and may lead to ADM issuance.
The amount of the loss

16
After processing a refund or void of an airline ticket in a booking, the deletion of flight segments is mandatory.
100% of the applied fare for each violation

Booking Violations:
17
Creating multiple reservations for the same passenger by the same agency—across the same or different GDSs—is strictly prohibited in the following cases:
For the same flight number, on the same or different dates, regardless of segment status (active or passive).
On different flight numbers serving the same city pair, on the same or different dates.
For different destinations, including those involving the same or nearby airports, on the same or different dates.
Such practices are considered abusive and may lead to ADM issuance.
50 USD for each passenger segment

18
Creating duplicate or multiple bookings for the same passenger—regardless of flight number, travel date, city pair, or destination—is strictly prohibited. This includes bookings made across the same or different GDSs and applies to both active and passive segments
1) More than 48 hours before departure – 20 USD for each case (for each PNR);
2) Less than 48 hours before departure – 30 USD for each case (for each PNR)

Non-compliance with Policies:
19
Issuing tickets under special conditions (e.g., discounts, exemptions) without providing the required supporting documents to validate the passenger’s eligibility is a violation.
The amount of the loss

20
In cases of involuntary ticket exchanges or refunds, the Agent must provide supporting documentation justifying the action. Failure to submit such documentation may result in ADM issuance.
The amount of the loss

21
Other violations resulting in Carrier losses
The amount of the loss

Dispute Resolution and Appeals:
22
The Carrier reserves the right to withhold funds from the issuing Agent in cases involving passengers declared inadmissible (INAD), where the Agent is found to have committed violations during the ticket issuance process. Such violations include, but are not limited to, the use or submission of forged or fraudulent documents (e.g., visas, tickets, passports).
Additionally, for return journeys issued on a single or separate ticket, the Agent must not cancel the return segment within 48 hours of the scheduled departure, regardless of the passenger's admissibility status.
Debit will be the cost of INAD pax, such as fines imposed to carrier, cost of return of pax to origin, etc.