Uncertainty Surrounds Azman Air’s Future, As Firm Fails To Raise Funds For Aircraft

Azman Air, NCAA Finally Resolve Disagreement Over N1.2 billion Ticket Debt

1 min read

Following the suspension of its flight operation, Azman Air has reached an agreement with the Nigerian Civil Aviation Authority (NCAA) over its N1.2 billion debt. 

On Thursday, Azman Air had temporarily shut down its operation after NCAA clampdown on the company for failing to renew its Air Transport Licence (ATL) that expired since April last year. 

Azman Air had been unable to renew the Air Transport Licence due to its N1.2 billion debt owed to Nigerian Civil Aviation Authority. The debt was as a result of Azman Air’s refusal to submit the 5% Ticket Sales Charge (TSC) and Cargo Sales Charge (CSC). 

Prime Business Africa had reported earlier today that Azman Air offered to pay N10 million monthly to Nigerian Civil Aviation Authority until it completes the N1.2 billion debt, however, NCAA rejected the amount. 

READ ALSO  African Development Bank approves $150 million Regional Trade Finance Unfunded Risk Participation Agreement facility for Eastern and Southern African Trade & Development Bank (TDB)

Azman Air raised the offer to N20 million, but NCAA turned it down. However, it seems both parties have reached an agreement, considering the company announced on its social media account, Twitter, that, “Operation has been restored and all Flights are being operated as scheduled as at today Friday 16th Sept.” 

Prior to the resumption, NCAA Director-General, Captain Musa Nuhu, had explained the reason for the faceoff with Azman Air, disclosing that multiple opportunities were given to the company to settle the debt issue, but the effort proved abortive. 

“We didn’t suspend Azman Air’s Airline Operator certificate, but suspended their ATL, which had earlier expired. The ATL earlier expired in April 2021, but we gave the airline extension because of the disruption to aviation activities by the COVID-19 pandemic. 

READ ALSO  CBN's MPR Hike Will Worsen Economic Challenges, Lead To Jobs Losses - Peter Obi

“This was what we did for other airlines, too. However, we wrote a reminder letter to the airline six months to the new expiring date, which is statutory. 

“Later, the airline requested for another extension of 90 days, but we only granted it 60 days. 

“At the expiration of the 60 days, we also gave it 30 days reminder, which elapsed on Wednesday night, yet nothing was done by the airline.”

READ ALSO  Why CBN's 22.75% MPR Hike Can't Tame Inflation - CCPE
+ posts