THOUSANDS of travellers could face chaos this summer after a flight wholesaler went into administration.

Many business passengers and holidaymakers will see their flights cancelled after Cyberes, based in Harrogate, North Yorkshire, called in administrators from PricewaterhouseCoopers.

Cyberes provides internet-based booking systems for independent travel agents, and its subsidiary Corporate Travel International (CTI), based in Hull, operates as a travel agency to the corporate, retail and internet travel markets.

Travellers who have already received their flight or holiday tickets will see their holidays go ahead as normal.

But those who have not received their tickets will face cancellations, unless they are flying with Emirates, KLM, Malaysia Airlines, Northwest Airlines, Royal Jordanian Airlines, or Singapore Airlines.

However, all those who have paid a deposit or the full balance on a flight-only, or holiday which includes a flight, will receive a full refund under the Air Travel Organisers' Licensing programme.

A spokeswoman for the Civil Aviation Authority said: "Customers abroad will be able to fly home as planned.

"Those who booked schedule flights and have received their air tickets will be able to fly as planned but they should contact their airline if they require further information."

Cyberes employs 30 people in Harrogate and has an annual turnover of about £15m.

Its subsidiary, CTI, employs 120 people in Hull and its seven branch offices across the North.

Steve Ellis, joint administrator and partner at PricewaterhouseCoopers, said a drop in customer numbers had led to a cash crisis at Cyberes, despite CTI operating profitably.

Investors refused to provide further investment and the group did not have enough cash to meet its monthly payments for a International Air Transport Association licence.

As a result, the company could no longer sell or hold airline tickets.

Mr Ellis said: "Its licence to issue airline tickets had been withdrawn.

"Consequently, the group has effectively ceased to trade.

"We have maintained a core workforce to hold the business together whilst we talk to potential buyers in the short term."

Cyberes had provided services for Sunderland-based travel company Hays, but a spokeswoman for the company said last night that only six of its customers would be affected, and they had been contacted.

CTI also operated under the trade names of the Flight Shop, the Cruise Shop, Stellaris Leisure, CTI Global Events, CTI Leisure and CTI Sport.

Any passengers wanting more information can contact the Civil Aviation Authority for advice on 0207 453 6350.