Azman Air grounded for N1.2billion debt, failure to renew Air Transport licence
Azman Air,one of the domestic airlines operating in the country has been grounded for failure to renew its Air Transport Licence(ATL) and huge debt of one billion,two hundred million(1.2b).
According to the Nigerian Civil Aviation Authority(NCAA),the Airline renege in renewing its Air Transport Licence in accordance with the Nigerian Civil Aviation Regulation.
In addition,Azman Air failed to provide security and tax clearance as well as failure to remit five percent Passenger Services Charge which amount toN1.2billion.
Capt.Musa Nuhu,Director General Nigerian Civil Aviation Authority,speaking with some aviation journalists in Lagos said Azman Air’s Air Transport Licence expired since April 2021.
He said the Regulatory Agency intimated the Airline through a letter in January 2021 to renew its ATL in which Azman acknowledged in March and requested for 90 days within which it will renew it.But,NCAA said it could only give 60 days grace.
Capt.Nuhu told newsmen that at the expiration of the 60 days,the Airline asked for another 30 days which NCAA granted due to some issues in the industry.The Airline still failed to renew the ATL within the period.
Speaking on the N1.2 billion from the 5 per cent PSC owed NCAA, the DG” said Azman had offered to pay N10 million monthly but that NCAA refused and that later Azman increased the amount to N20 million but that NCAA told the airline that the regulatory body can only accept N50 million monthly.”
“Apart from the inability to renew its ATL, remit the N1.2 billion fund owed NCAA, the airline was not also able to present tax clearance and security clearance from the relevant authority”
“ The era where airlines collect money on behalf of NCAA and refuse to remit is over, the regulatory body can no longer tolerate that.”
Nuhu explained that it was not the Air Operator Certificate(AOC) that is suspended but that it was the airline’s ATL.
He said that with suspension of the airline’s ATL, the AOC automatically becomes useless.
“For Azman to resume operations, it must submit its tax clearance, Security clearance must sign an MoU with NCAA to be remitting N50million monthly of N1.2 billion it is owing the regulatory body.”
According to him, the regulatory agency is not refusing to meet with Azman, that the NCAA is ready at any time to meet with the airline on how they will pay the PSC funds which the airline collected and did not remit.
“ Henceforth any airlines whose ATL expires and has not remit the money on behalf of NCAA must sign an MoU telling the regulatory body how it wants to repay NCAA is under pressure by government to take action to get the money from the debtor airlines.”