Domestic airlines get one-week ultimatum to return N4bn support fund

Domestic airlines get one-week ultimatum to return N4bn support fund

All private airlines that received N4 billion COVID-19 relief funds have been directed to refund the allocated money to the coffers of the Federal Government treasury, if they fail to give a convincing account of how the money was spent within seven days.

House of Representatives Committee on Public Accounts gave the directive.

The committee chaired by Bamidele Salam (Osun-PDP) disclosed this  at the resumed investigative hearing on the alleged mismanagement of the COVID-19 intervention funds by the Ministries Departments and Agencies of the Federal Government and others.

The committee said despite appearing before it, many of the airlines and industry stakeholders, including Aero Contractors, Azman, Newrest, and representatives from the Federal Ministry of Aviation and Aerospace Development, failed to provide satisfactory explanations regarding the allocation and expenditure of the funds.

The committee stressed the need for accountability and transparency in the utilization of public funds.

But Azman Airlines represented by its Marketing Manager, Odum Chizoba Uju, admitting receiving N367,935,779.95, said it was allocated for various operational expenses such as aircraft maintenance; spare parts, fueling, Forex purchasing, and insurance premium.

Also, Station Manager of Aero Contractor, Mr. Abdulmalik Musa, said the company received N217,345,542.05 from the government for the COVID-19 intervention fund.

The representative of the Aero said the fund was used for airport handling and facility payment, fueling payment, onboard catering payment, pilot training payments, and lease rental payments.

But a member of the committee and former pilot with the Nigeria Air Force, Hon. Ojuawo Adeniyi, from Ekiti State, faulted the submissions, saying that the services claimed by the operators were applicable only during the regular operations of airlines.

Following this development, a motion was moved by a member, Akiba Bassey,   that the amount involved should be refunded to the Federation Account in seven days if no convincing details of the spendings were provided.