3 seek pay by Viata through Chapter 7

By Andrew Gomes
Advertiser Staff Writer

Three former employees of Viata Software Inc., a Honolulu travel-software developer, have filed a petition to put the company into bankruptcy court to settle claims.

Frank Among, Val Marciel and Harold Williams said in their petition filed Wednesday in U.S. Bankruptcy Court that they are owed a total of $115,447 in unpaid wages. They are asking that any Viata assets be liquidated under Chapter 7.

Viata, which sold an online platform for travel industry transactions, shut its downtown Honolulu office in July and transferred clients to other companies that maintain the software.

Michael J. Coy, Viata chairman, could not be reached yesterday. Attorney James Wagner, who represents the petitioners, also was unavailable for comment. Individual petitioners could not be reached.

The roughly 5-year-old company was a short-lived success story in Hawai'i's high-technology industry.

Founded as a site offering online booking for several hundred vacation units in Hawai'i, Viata developed electronic booking software that interfaced with reservations systems of hotels, airlines, car rental agencies, wholesale travel companies and travel agents.

Clients that either used or connected with Viata software included Outrigger Hotels & Resorts, Hawaiian VIP Tours, Hawaiian Vacations and Creative Holidays.

Last October, Viata announced that it had received $1 million in seed capital from investors, including John Dean, chairman of Silicon Valley Bank. The company also converted $2 million of debt into equity.

But capital-raising efforts did not keep up with negative cash flow, and the business struggled. In May, Viata chief executive J.W. Ellsworth resigned.

The company's EZRez software license was reclaimed by developer Heidi Vavul, who continues to serve former Viata clients. She said Viata's VacationHosts.com vacation rental portal was bought by another company.