Mooney Aircraft Corporation has filed for re-organisation under the protection of Chapter 11 of the federal bankruptcy law.

In a related move, Chris Dopp has resigned his position as president and ceo and director of the company, handing over day to day responsibilities to Michael McConnell, senior vice president of strategic planning.

Mooney has already secured funding for ongoing operations through its primary lender, Congress Financial - a subsidiary of First Union Bank.

Business at the company's factory is expected to continue without interruption in a year that has

seen the manufacturer produce more than 27 aircraft to date.