HeadlinePending Lawsuits Reveal Aviation Roadmap Abuse

Pending Lawsuits Reveal Aviation Roadmap Abuse

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November 25, (THEWILL) – A plethora of lawsuits from aviation stakeholders against the Federal Government on one hand and the Honourable Minister of Aviation, Senator Hadi Sirika, on the other hand, seems to be threatening the proposed aviation roadmap initiated by the President Buhari-led administration shortly after assumption of office in May 2015.

Sirika, seven years ago, unveiled the aviation roadmap. Projects under the roadmap included the national carrier; the Maintenance, Repair and Overhaul (MRO) facility; the Aviation Leasing Company (ALC); Aerotropolis, Airport concession and the development of agro-allied cargo terminals.

Despite the Minister’s untiring efforts to pull through the projects under the roadmap, it has continually faced scrutiny. As a matter of fact, the aviation roadmap has been a subject of one controversy or another and industry experts are now beginning to doubt whether most of the projects under the roadmap will see the light of the day in the remaining few months of the present administration.

According to an industry source, the roadmap components are so far-reaching that would drive the development of the sector, but its implementation has been a subject of intense controversy, suspicion and misgivings in the aviation industry.

Industry stakeholders have also questioned the failure of the government to deliver any of the projects in the last seven years and doubt if something meaningful would be achieved in the remaining few months.

For Nigeria Air, there are strong indications that the proposed National Carrier, billed to commence operations this year, may not happen because of a pending court case.

Recall that eight domestic airlines sued the FG to court, listing Nigerian Air, Ethiopian Airlines, Minister of Aviation, Hadi Sirika, and Attorney-General of the Federation, Abubakar Malami, as defendants.

Among other prayers, the airlines want the court to stop the national carrier deal and withdraw the Air Transport Licence already issued to Nigeria Air by the Federal Government/Nigerian Civil Aviation Authority

Consequently, the Federal High Court in Lagos, on 24th November, 2022, renewed its order, directing the Federal Government and domestic airlines to maintain the status quo in their suit concerning the establishment of a proposed national carrier, Nigeria Air.

The court has, therefore, adjourned the proceedings till February 13, 2023.

Justice Ambrose Lewis-Allagoa made the order pending the determination of the suit filed by the Registered Trustees of the Airline Operators of Nigeria and five others in the aviation industry.

Other plaintiffs are Azman Air Services Limited, Air Peace Limited, Max Air Limited, United Nigeria Airlines Company Limited and Topbrass Aviation Limited, first to sixth plaintiffs respectively.

The first to fourth defendants are Nigeria Air Limited, Ethiopian Airlines, Sen. Hadi Sirika (Minister of Aviation, Federal Ministry of Aviation) and the Attorney-General of the Federation.

Meanwhile, the court had earlier stopped the federal government from going on with its Nigeria Air agreement reached with Ethiopia Airlines.

The court granted an “order of interim injunction restraining the federal government from executing the proposed or draft agreement of the establishment of a national carrier between Ethiopian Airlines and Nigeria.”

In the same vein, the airport concession exercise under same aviation roadmap is not spared of the ranging controversies.

As it stands, one of the bidders for the concession of the Murtala Muhammed International Airport (MMIA), SIFAX Group of Companies Limited, has approached a Federal High Court in Lagos to disqualify Tav Airports Holding Company and GMR Airport Limited.

SIFAX Group stated that both firms owned by the same company, Airport De Paris (ADP), submitted separate bids for MMIA and were shortlisted for the next phase of the concession.

SIFAX, in its submission to the court, contended that this breached the “specific precept of the RFQ” (Request For Qualification) which states that no applicant is entitled to bid for any of the specific Assets twice under any guise or form.

The plaintiff sued the Attorney-General & Minister of Justice of Nigeria, the Federal Government of Nigeria and the Minister of Aviation, NAHCO Aviance Plc, the Infrastructure Concession Regulatory Commission( ICRC), Tav Airports Holding and GMR Airport as the 1st to 7th defendants. FG announces bidders for three of four international Airports

The plaintiff said sometime in August 2021, the Federal Government, through the Minister of Aviation, decided to concession Murtala Muhammed International Airport and Cargo Terminals via a Public Private Partnership, PPP, arrangement on a Build/Rehabilitate Operate and Transfer (B/ROT) basis.

The Plaintiff noted that two consortiums owned by ADP Airport De Paris submitted an expression of interest thus violating the documented strict rules of engagement in the bidding process.

The matter has been assigned to Justice Ambrose Lewis-Allagoa. However, no fixed date has been announced, but it was also gathered that the Federal Government is seeking an out of court settlement

Recall that in a letter dated No­vember 3, 2021, addressed to the Minister, Sirika, by Legal Luminary, Chief Femi Falana (SAN), where he advised the Minister to disqualify three firms, TAV Consor­tium, GMR Consortium and ADP for vi­olating the requests for qual­ification (RFO) process.

Falana emphasised that contrary to the misleading impression that both TAV and GMR were separate en­tities, a search on the inter­net by the law firm revealed that ADP owns 46 percent of GMR and 49 percent of TAV.

He insisted that section 2.2 of the RFQ states that ‘no applicant single or a con­sortium can be part of more than one bid,’ while section 2.2.3 further clarified that the eligibility ‘shall apply to an applicant and/or to the parties consisting of the applicant i.e. shareholders.’ Falana writes Sirika, ICRC seeks disqualification of TAV, GMR Consortium; ADP from concession

Falana warned that the failure of the Ministry of Aviation to act appropriate­ly on the matter may lead to litigation against the Federal Government.

The aviation unions on its own part had continuously kicked against the airport concession exercise, saying that the whole process is not transparent.

Speaking on behalf of the unions recently, Secretary General of National Union of Air Transport Employees, NUATE, Comrade Ocheme Abah, said, “Following the stalemate, another approach was proffered which brought about visitations to international airports in other countries being operated under concession. Since our return from the visitations, we have been clamouring for the reconvening of the joint committee to afford the ventilation of the experiences garnered from the visits, but to no avail. Instead, the Minister has now quickened the tempo of the implementation of the concession while remaining under the umbrella of the obnoxious OBC, thereby leaving the Unions and FAAN staff/pensioners in limbo.

“It has, therefore, become imperative for our unions to take actions to safeguard the legitimate interests of the workers to be negatively impacted by the unwholesome concession exercise. It is also unavoidable that our Unions, being corporate citizens, activate a citizens’ rights agenda to prevent abuse of our common patrimony by those in power.”

About the Author

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Anthony Awunor, is a business correspondent who holds a Bachelor of Arts Degree in Linguistics (UNILAG). He is also an alumnus of the Nigerian College of Aviation Technology (NCAT), Zaria Kaduna State. He lives in Lagos.

Anthony Awunor, THEWILLhttps://thewillnews.com
Anthony Awunor, is a business correspondent who holds a Bachelor of Arts Degree in Linguistics (UNILAG). He is also an alumnus of the Nigerian College of Aviation Technology (NCAT), Zaria Kaduna State. He lives in Lagos.

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