Sirika, Arik airlines, Bi-Courtney in war of words over N37bn debt
By Adetunji Tobi
Bi-Courtney Aviation Services Limited (BASL) has refuted claims by the Minister of Aviation, Hadi Sirika of owing federal agencies N14 billion.
The Minister of Aviation on Thursday said Arik airlines, Bi-Courtney, among other airlines are owing various federal agencies a tune of N37 billion.
Speaking at the weekly ministerial press briefing organised by the presidential communication team at the presidential villa, Abuja, he said the debt is owed to agencies including Federal Airports Authority of Nigeria (FAAN), Nigerian Airspace Management Agency (NAMA), Nigerian Civil Aviation Authority (NCAA) among others.
He said Arik owes about N13 or N14 billion, Bi-Courtney is owes Federal Airports Authority of Nigeria (FAAN) about N14 billion, adding that for the past 13 years since it began operations, it has not remitted a single dime to them as stipulated in the agreement.
BASL, operator of Murtala Muhammed Airport, Lagos Terminal Two (MMA2) in a swift response by its spokesman, Mikail Mumuni, denied owing FAAN any amount at all.
In a statement made available to Nigerian NewsDirect on Thursday night, he said, “On the contrary, it is FAAN that owes Bi-Courtney over N200billion by depriving it of its legitimate earnings over the past 14 years.”
This, he said, arose by FAAN opening and operating the General Aviation Terminal (GAT), thus competing with BASL with government money in the running of the Domestic Terminal in a flagrant breach of the concession agreement.
“BASL in line with the dispute resolution process contained in the agreement had an arbitration award in its favour. It also got the judgment of a High Court, six Court of Appeal judgements and a Supreme Court judgment, all in its favour and sustained the monetary award,” he said.
Mumuni stressed that the courts ruled that any debt that may be alleged against BASL by FAAN should be deducted from the credit judgement after due verification.
He added that, “The N14 billion debt mentioned by the Minister is totally inconsistent with the demand by FAAN, the body which has been liaising with BASL. Their last demand was about N1billion which was promptly responded to by BASL stating categorically that there was no such debt.”
Mumuni said, “We believe that Minister was not properly briefed by FAAN as we also pay our electricity bills as and when due. We equally provide elaborate security at the Terminal which has continued to attract commendation from stakeholders.”
He said BASL is a law abiding company and will continue to obey the laws of the land while providing exceptional services at its facilities.
When Nigerian NewsDirect contacted spokesperson of Arik airlines, on the alleged N14billion debt, he questioned that “Arik airline is owing the Federal Government N14billion. Who said so?
“I am not aware.”
Sirika said the government had been cautious in demanding for the payment, mindful of how the media and Nigerian public might react, and vowed that the government would go after the airlines to make sure that they pay what they owe.
“In fact, the service providers in our system, FAAN, NAMA, said, oh, these guys are owing us, we should take the money from the money being given as palliatives. We said no, but the intention of President Buhari is to ensure that he cushions the effect on businesses. Let us find a way of surviving, and let them take the money. So we would have taken the money and left them with nothing and we stay with nothing,” he said.
“So, this brings to the question on the money owed the parastatals. It is about N37 billion that they are owing, especially, Arik, the culprit. I know they’re owing us about, N13, N14 billion.
“If you’re owing government, you are owing FAAN, the Bi-Courtney is owing about N14 billion as at the last count. It has not paid a single dime since the time he started to run the terminal building. And we have not ceased giving him, electricity, water, fire cover, and so on and so forth. He hasn’t paid a dime for 13 years.
“And if we go to shut his doors, media, of course, and Nigerian people will say we’re killing businesses but he is killing our services too, because we have to have that money to provide for that toilet that you’re looking in Lagos airport. Most of these are living by their IGRs and so, we need the money but we will go after the money.”
On national carrier, Sirika reiterated that Nigeria will begin the operation of a new national air carrier in the first quarter of 2022.
“I’m happy to say, we discussed with the high and mighty. We discussed with Boeing, with Airbus, we have reached some agreements. We discussed with airlines like Qatar, and many other airlines. We will have this timeline in 2022 by the grace of God. And we’ll start with the domestic, you know, escalating into international. And we are partnering with many in the airline industry focused either weight capacity and high capacity to be produced by either Boeing or Airbus,” he added.
“We believe that this is the best thing for Nigerian and for Nigerians and for sure, the market is there.”