The story
Arthur Butler was an English-Australian aviator whose first aviation experience was as a toolmaker and later ground engineer in Sydney then Hay. Butler was engineer to pilot Francis Stewart Briggs who taught Butler to fly at Hay. After getting a pilot's license, he became a barnstormer before, in 1934, winning the contract for the Charleville to Cootamundra leg of the England-Australia airmail route. Butler Air Transport Co lost the contract upon its expiry in 1938, but went on to operate as a civil airline, serving country towns in New South Wales and Queensland.
During World War II Butler Air Transport continued operating on a limited scale and also manufactured parts for the Australian war effort on a cost-recovery basis. At the end of the war, Butler registered Butler Air Transport Pty Ltd as a public company. It became the most successful airline in New South Wales, operating three Douglas DC-3s, Avro Ansons, De Havilland Herons and three Airspeed Ambassadors.
Butler encouraged employee ownership of the company, and in 1947, they owned 51 per cent.
In the late 1940s, the Chifley Labor Government sought to nationalise the airlines. In the early 1950s the coalition government abandoned nationalisation and instead adopted the Two Airlines Policy favouring Ansett Australia and Trans-Australia Airlines. Arthur Butler fought against the trend, including an intended buy-out in the early 1950s by Australian National Airways. In 1955 Butler acquired two Vickers Viscounts. Ansett Transport Industries acquired Australian National Airways in 1957, thus acquiring appreciable stock in Butler Air Transport, then acquired more from staff stockholders until it controlled Butler. Despite a legal and boardroom battle to retain or regain control, Arthur Butler lost. In late 1958, Butler was offered the position of managing director but instead left the company, which was effectively absorbed into Ansett as Airlines of New South Wales in 1959, then into Ansett Express.
From Wikipedia’s article on Butler Air Transport, shared under CC BY-SA 4.0.3