Air Scotland was established in November 2002 by Iraqi-born businessman Dhia Al-Ani and started operations on 29 March 2003, using 2 Boeing 757-200 aircraft operated by Electra Airlines, to Spanish holiday resorts. The company was a ticket provider for Electra Airlines until 25 April 2003, when the Electra aircraft were grounded by BAA plc over debts owed to the airport operator. Air Scotland ceased the agreement with Electra and began operating with Air Holland, who agreed to resume operation of the former Electra routes. With the demise of Air Holland, it then began operating under the air operator's certificate of Greece Airways, which was formed out of Electra and owned by Mr Al-Ani, albeit with only one 757 aircraft. All aircraft (before 2006) that have operated for Air Scotland have carried the operator's livery of white fuselage with the Flag of Scotland design on the aircraft tailfin.[citation needed]
Under Mr Al-Ani's ownership, there were reports of Air Scotland looking to lease two Lockheed L-1011 Tristar to utilise on services from Glasgow to Miami, New York City and Cuba, and to fly between Glasgow and London Stansted Airport to Baghdad, but these failed to materialise.
