Connect with us

Business

Reps query foreign airlines’ N18.98bn debt, give FAAN two-week recovery deadline

Published

on

The House of Representatives Committee on Finance on Tuesday directed the Federal Airports Authority of Nigeria to recover the N18.98bn owed to the Federal Government by foreign airlines operating in the country within two weeks.

The directive was issued by the Chairman of the Committee, James Faleke, when officials of FAAN, led by the Managing Director, Olubunmi Kuku, appeared before the panel as part of its ongoing revenue monitoring exercise.

Lawmakers expressed displeasure over what they described as the growing debt profile of international airlines operating in Nigeria, insisting that the situation was unacceptable.

Faleke noted that the accumulation of such liabilities, despite clearly defined payment timelines for airport service charges, raised serious questions about revenue enforcement in the aviation sector.

Earlier in her presentation, the FAAN managing director explained that airlines operating in Nigerian airports are required to settle their service charges within two weeks.

She, however, disclosed that a number of operators had exceeded that window, with some liabilities stretching beyond 30 days, 90 days and, in certain cases, more than one year.

Kuku also presented a breakdown of the outstanding debts owed by several international carriers.

Among the airlines listed were Qatar Airways, Lufthansa, British Airways, Virgin Atlantic, KLM, EgyptAir, Ethiopian Airlines, Air France, Royal Air Maroc, Turkish Airlines and Africa World Airlines.

She explained that the figures represent charges for services provided by FAAN and collected through the settlement platform of the International Air Transport Association.

According to her, Qatar Airways currently owes about N1.5bn, while Lufthansa’s outstanding liability also stands at approximately N1.5bn.

See also  Yuletide: Local flights break N300,000 mark

She further stated that Virgin Atlantic owes about N1.35bn, while KLM, EgyptAir and Ethiopian Airlines each owe over N1bn in varying categories of current and outstanding payments.

Other airlines listed in the debt profile include Air France, Royal Air Maroc, Turkish Airlines and Africa World Airlines, with liabilities ranging between N700m and N1bn.

The FAAN boss told the committee that the total outstanding amount owed by the airlines currently stands at N18.98bn.

Lawmakers, however, queried why the airlines were allowed to accumulate such debts despite the stipulated two-week payment window.

A member of the committee asked FAAN why operators who fail to meet their obligations within the approved timeframe were not sanctioned or barred from operating at Nigerian airports.

“Why would you allow an airline to owe beyond the two weeks allowed?” the lawmaker queried.

The committee also demanded to know whether airlines that eventually settle their obligations after the deadline are required to pay interest on the outstanding sums, warning that persistent delays could amount to negligence.

Members further questioned why certain airlines were allowed to continue operations despite carrying debts exceeding 90 days or even one year, stressing that such practices could undermine revenue enforcement.

Responding, Kuku explained that international airline payments are often processed through a global clearing system operated by IATA, which sometimes results in settlement delays.

She noted that the system allows airlines to make payments through a centralised platform used globally for aviation ticketing and financial settlements.

According to her, FAAN closely monitors the ageing of airline debts and intensifies engagement with operators once liabilities exceed 30 days, while debts above 90 days attract stronger enforcement measures.

See also  SERAP Sues NNPC Over Alleged Missing $49.7 Million, ₦22.3 Billion Oil Revenue

She also revealed that FAAN had, on some occasions, grounded airlines that failed to meet their payment obligations, particularly domestic operators that do not operate under the same global credit structure as international carriers.

Despite the explanation, lawmakers insisted that stricter enforcement mechanisms must be introduced to prevent the continued accumulation of debts.

The committee subsequently directed FAAN to provide detailed addresses and documentation for all the airlines listed as debtors.

It also warned that the affected operators would be invited to appear before the House to explain the outstanding liabilities if they fail to clear the debts within the stipulated period.

“We need every kobo that belongs to this country,” Faleke said, warning that airlines found violating their financial obligations would be held accountable.

Foreign airlines operating in the country are required to pay a range of statutory charges for the use of airport facilities and services provided by FAAN.

These include passenger service charges, landing and parking fees, aeronautical service charges and other operational levies.

PUNCH Online reports that over the years, the recovery of such charges has occasionally been complicated by the global settlement structure used in the aviation industry, where airlines process payments through the International Air Transport Association’s clearing system.

Under this arrangement, airlines operating in multiple jurisdictions settle certain charges through centralised platforms that aggregate payments before disbursement to airport authorities and service providers.

However, Nigerian lawmakers have repeatedly raised concerns that the system should not be used as a basis for prolonged delays in settling debts owed to government agencies.

See also  FG sets Dec 20 deadline to pay contractors

The latest directive by the House Committee on Finance forms part of a broader effort by the National Assembly to strengthen revenue collection by federal agencies and block leakages in government income streams, particularly in sectors considered critical to national economic growth.

punch.ng

FOLLOW US ON:

FACEBOOK

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

TUMBLR

INSTAGRAM

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

Agricultural quarantine service postpones release of recruitment shortlist

Published

on

The Nigeria Agricultural Quarantine Service has postponed the publication of shortlisted candidates for its ongoing recruitment exercise, which was initially scheduled for Thursday, August 13.

NAQS said the decision was made to ensure a thorough, transparent and accurate recruitment process.

The agency announced the postponement in a public notice signed by the Director of Human Resources, ACG Issaka Ahmed, and posted on its X handle on Friday.

“In order to ensure a thorough, transparent and accurate process, we are unable to release the list of shortlisted candidates as scheduled,” the notice stated.

The agency apologised for the delay and urged applicants and members of the public to remain patient while awaiting a new date.

“We sincerely regret any inconvenience or uncertainty this delay may have caused and appreciate the patience, understanding and continued interest of all applicants.

“All applicants and the general public are hereby notified that a new date will be communicated in due course through our official communication channels,” it said.

The agency advised applicants to rely only on information released through its official channels.

The recruitment exercise, which opened on July 28 and closed on August 10, attracted 606,928 attempted applications, while 407,659 were successfully submitted, according to statistics released by NAQS on Wednesday.

The agency said 199,269 applications were incomplete at the close of the application period.

The Assistant Superintendent of Quarantine II cadre, requiring HND or bachelor’s degree, recorded the highest number of applications with 290,076, followed by Quarantine Assistant II with 117,177 applications.

Other cadres included the NCE category with 79,685 applications, OND with 70,170, and the Superintendent cadre requiring a master’s degree with 13,183 applications.

See also  Nigerians most exploited by telecom, energy firms – FCCPC

PUNCH Online reports that NAQS said it will conduct a computer-based test and interviews on August 15, after shortlisted candidates are released on August 13.

However, candidates will now await new dates.

The recruitment exercise covers the Superintendent, Inspectorate and Assistant cadres.

Source: punchng.com

FOLLOW US ON:

FACEBOOK

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

INSTAGRAM

Continue Reading

Business

Customs dismiss smuggling, revenue leakage allegations

Published

on

The Nigeria Customs Service has dismissed allegations of increased smuggling, revenue leakage, recruitment impropriety and manipulation of succession within the service, describing them as a misrepresentation of its operations and administrative processes.

The service’s National Public Relations Officer, Deputy Comptroller Abdullahi Maiwada, stated this in a response released on Thursday to an investigative report published by a media outlet (not PUNCH) on August 7, 2026.

The report had alleged intensified smuggling along the Seme, Idiroko, Ilaro, Ipokia and Igbeti-Kishi corridors, as well as manipulation of the 846 valuation code at the Apapa, Tin Can Island and PTML Area Commands.

Maiwada said the claim of a surge in smuggling was inconsistent with the service’s enforcement activities, pointing to regular seizures recorded along the affected corridors.

“Our responsibility is to reduce smuggling to the barest minimum, not to claim that it can be completely eradicated,” he said.

On the 846 valuation code, the NCS explained that it was a digital tool designed for vehicles with non-standard or non-compliant Vehicle Identification Numbers, including specialised heavy equipment, classic vehicles and customised models.

“The 846 code is an established digital valuation code within the Customs portal, specifically designated for vehicles with non-standard or non-compliant Vehicle Identification Numbers,” Maiwada said.

He added that standard vehicles were assessed automatically through manufacturer-linked databases, while 846 applications were subjected to secondary approval by valuation officers and Area Controllers.

Maiwada said discrepancies discovered through post-clearance audits could lead to Demand Notices for the recovery of short-collected duties and sanctions against offending operators, adding that revenue collections at major ports had reached historic levels under the digital framework.

On the recruitment of Assistant Superintendents of Customs II, the Service said the exercise was conducted under the authorisation of the Nigeria Customs Service Board and in line with the NCS Act 2023 and Federal Character Commission guidelines.

See also  Nigeria’s rent crisis deepens as two-bedroom flats hit N2.5m

It said successful candidates were issued provisional offers subject to medical verification, background checks and formal acceptance.

The Service also rejected allegations of succession manipulation and favouritism among officers, saying promotions were determined by seniority, merit, promotion examinations and available vacancies in accordance with established regulations.

“Succession and promotion within the Service are governed by established rules and career progression structures, not personal preference,” the Service said.

Maiwada said leadership training for Deputy Comptrollers was part of the Service’s human capital development strategy, aimed at strengthening trade operations, intelligence management and executive leadership.

He explained that approved training programmes and international exposures were funded through budgetary allocations or formal technical assistance arrangements with partner institutions.

Responding to calls for independent investigations, the NCS said it remained subject to oversight by the Federal Ministry of Finance, National Assembly, Office of the Auditor-General for the Federation and anti-corruption agencies.

“The management maintains a firm, intolerant posture toward corruption, revenue leakage or administrative misconduct,” the Service stated.

It added that any officer or stakeholder found culpable would face disciplinary action and prosecution in accordance with the law, while assuring Nigerians that the Service would cooperate with any legitimate investigation by statutory authorities.

Source: punchng.com

FOLLOW US ON:

FACEBOOK

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

INSTAGRAM

Continue Reading

Business

Patience Jonathan revealed she mentored Azikel refinery boss Eruani from ‘small boy’ to big businessman

Published

on

Ex-President Goodluck Jonathan’s wife, Patience, has described the Group President of Azikel Group, Dr Azibapu Eruani, as a “small boy” she raised and mentored into the league of Nigeria’s biggest businessmen.

She said her guidance was behind his bold entry into big business at a relatively young age.

The former First Lady spoke on Tuesday in a video which went viral on Thursday during an inspection tour of the Azikel Refinery in Obunagha, Bayelsa State, alongside other dignitaries.

She said she personally introduced Eruani to billionaire businessmen, Aliko Dangote and Aminu Dantata, and pushed him to aspire to their level despite being the youngest among them.

“He’s a boy that I brought up. We are always together. Although he’s the little one among us when we are friends — Dangote, Seyi, Dantata, Eruani — among us, he’s the smallest. But I made sure he followed the Dangotes, he followed Dantata.

“Because I’m a woman in their midst, I made sure I told this small boy, ‘Go and follow them, and stop the grammar.’ But when he told me that one day he would be like Dangote, I said, ‘You’re thinking too high.’ I prayed to God to grant him his heart’s desire,” she said.

Group President of Azikel Group, Dr Azibapu Eruani

The former First Lady also recalled how the immediate past APC administration under Muhammadu Buhari initially failed to grant Eruani a refinery licence before eventually approving three.

“During the Buhari administration, he and others came to me and told me they were going to apply for a refinery. I told him, ‘Eruani, your brother, the President, did not give you a refinery.

See also  FG sets Dec 20 deadline to pay contractors

“Is it the APC government that will give you one?’ I prayed it would happen. But later, they came back and told me they had been given three refineries,” she said.

The inspection coincided with the arrival of the refinery’s Crude Distillation Unit, a major milestone in the development of the $1bn facility.

The 25,000 barrels-per-day plant is a private hydro-skimming refinery designed to process condensate into petrol, diesel, aviation fuel, kerosene and other products.

It is set to become Nigeria’s second-largest full-slate refinery and the first major privately owned refinery in the Niger Delta.

The Managing Director/Chief Executive Officer of the Niger Delta Development Commission, Samuel Ogbuku, who joined the inspection tour, commended Eruani for his perseverance, noting that he had attended the project’s groundbreaking ceremony eight years ago.

Ogbuku described the refinery as an inspiration and a potential catalyst for investment, job creation and economic growth in Bayelsa State, and urged residents, particularly youths, to key into the opportunities it would create.

 

 

He also praised the Bayelsa State Government for improving road infrastructure leading to the refinery site and called for continued support for the project.

Governor Douye Diri, who was represented at the inspection by his deputy, Peter Akpe, has consistently backed the project, which is expected to employ hundreds of workers and drive industrialisation in the state.

Other dignitaries at the event included the Chairman of the Bayelsa State Council of Traditional Rulers, King Bubaraye Dakolo; Vice President of Azikel Group, Presley Asemota; and Isaac Yalah, among others.

See also  Oyedele reveals how tax reform will protect low-income Nigerians

Source: punchng.com

FOLLOW US ON:

FACEBOOK

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

INSTAGRAM

Continue Reading

Trending