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Thousands of Australians stranded in Thailand as budget carrier Air Australia goes under

Air Australia Airbus A320 in Perth

Air Australia Airbus A320-200 in Perth. Photo: Air Australia Airways.

AIR Australia has been placed into voluntary administration, thousands of passengers stranded and its flights grounded after it was unable to pay its bills.

Administrators KordaMentha posted the news about the troubled airline on its website early today, saying that flights would be grounded.

It comes as the airline was denying it was broke as late as yesterday and on Wednesday had been continuing to sell tickets.

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