The Nation Newspaper

Tag: Asset Management Corporation of Nigeria (AMCON)

  • Sacked workers: Union threatens to disrupt Aero Contractors’ operations

    Sacked workers: Union threatens to disrupt Aero Contractors’ operations

    The National Union of Air Transport Employees (NUATE) has threatened to disrupt Aero Contractors’ operations by Monday, if the airline refuses to recall over 700 workers sacked recently.

    Mr Olayinka Abioye, General Secretary, NUATE, issued the warning in an interview with the News Agency of Nigeria (NAN) in Lagos on Friday.

    Abioye described the sack of the workers as an exercise in “bad faith” to the industry and the country in general.

    “By Monday, the whole world will know what is really happening in Aero Contractors. We are going to shut down the operations of the airline.

    “There is no place in the world where people will work for 20 to 25 years and you will disengage them and ask them to go home empty-handed.

    “This has never happened before, so it will not happen in Aero Contractors,” he said.

    Abioye accused Asset Management Corporation of Nigeria (AMCON) of not acting in the best interest of Aero contractors and its workers since the takeover in 2013.

    He assured that NUATE, alongside other aviation unions, would ensure that the affected workers were paid their entitlements and benefits before the airline could dismiss them.

    NAN reports that the airline, which is under the management of the (AMCON), had sacked more than 700 workers, representing 60 per cent of its workforce.

    The Media Consultant to the airline, Mr Simon Tumba, who confirmed the development in a statement issued on Thursday in Lagos, said the workers would be paid their pension and gratuity.

    Tumba explained further that letters of redundancy were issued to the affected employees during the week.

  • Passengers besiege Arik for fare refund on international routes 

    Passengers besiege Arik for fare refund on international routes 

    ….Investigations reveal airline owes IATA $78 million 

     

    Scores of passengers Monday besieged Arik Air headquarters to seek refund for their fares on London, New York and Johannesburg routes suspended by the airline since the Asset Management Corporation of Nigeria (AMCON) took over on February 9, 2017.

    The passengers who gathered at the reception of the airline headquarters in Lagos took a swipe at the airline for its inability to timely refund their fares to enable them join other airlines to their destinations.

    The passengers were shouting at the officials at the reception, who tried to calm them.

    This is just as the Asset Management Corporation of Nigeria (AMCON) disclosed on Monday that Arik Air, under its previous management, was indebted to the tune of $78 million to the International Air Transport Association (IATA).

    This was disclosed by Mr. Simon Tumba, Media Consultant to Arik Air , in Lagos.

    Tumba said the debt was for all aviation services provided under the platform of IATA which recently suspended the airline from its Billing and Settlement Plan (BSP) and Cargo Account Settlement System (CASS).

    He said: “Arik Air under the former management was owing everywhere they operated. Apart from the over N300 billion owed to AMCON, the airline also owes about N50 billion to Nigerian banks and another $78 million to IATA.

    According to him, out of the almost 30 aircraft in the airline’s fleet, only about 10 was currently serviceable which necessitated the new management to reduce its routes and flight operations.

    He alleged that the new management also discovered that Arik had no record of gains and losses of operations carried out in 2015.

    Tumba said the management in collaboration with AMCON have appointed KPMG to carry out a forensic audit on the airline, adding that there result would be out in the next ten weeks.

    “The current management is looking at the backlog of salaries owed staff because the staff needs to be motivated to get the airline running properly.

    “The current management is working with government to add five aircraft to the fleet to increase its size and the airline’s routes.

    “We have also resolved the issue of fuel supply which has improved Arik Air’s flight operations since the takeover,” he added. 

  • AMCON takes over OAS Helicopters 

    AMCON takes over OAS Helicopters 

    Asset Management Corporation of Nigeria (AMCON) has taken over Odengene Air Shuttle Services (OAS) Helicopters in Lagos.

    The takeover came after a court order, according to the Spokesman of AMCON, Jude Nwauzor, on Tuesday. He did not give details on the takeover.

    It was however learnt that the AMCON management Tuesday sealed off the head office of the helicopter firm at Maryland in Lagos,

    The AMCON management is expected to appoint a receiver-manager.

    OAS Helicopters is among the 10 airlines that benefitted from the over N120 billion aviation intervention funds given a few years ago.

    The Order on the company’s office reads: “POSSESSION TAKEN TODAY 14/2/17 BY AMCON BY COURT ORDER ON SUIT NO. FHC/4CS/1139/2016.

    OAS Helicopters is the fourth airline to be taken over by AMCON in the last one year.

    AMCON last week took over Arik Air, following after Aero and Afrijet airlines.

  • AMCON takes over AfriJet Airlines assets over N10b debt

    AMCON takes over AfriJet Airlines assets over N10b debt

    Hon. Justice Chuka Austine Obiozor of The Federal High Court Lagos Division has granted an interim injunction against Afrijet Airlines Limited, owned by Chief Vitalis Ibe on the application of Asset Management Corporation of Nigeria (AMCON).

    The obligor owes AMCON nearly N10 billion. AMCON purchased the Eligible Bank Assets (EBAs) sometime in 2011 from the defunct FinBank and Bank PHB. The order also affects Ibe’s Continental Aviation Services Limited. AMCON has since appointed Prof. Gbolahan Elias, SAN as Receiver/Manager.

    At about 11:00am Friday, the Receiver/Manager took possession of the assets of Chief Ibe including Afrijet Plaza, the corporate head office of the airlines located on Sheraton-Opebi Link Road Ikeja, Opebi, Lagos; his asset at Plot 22, JimohOdutola Street, off Eric Moore Road, Surulere, Lagos as well as his office at the Airport. The Court order mandated the Receiver/Manager to also take over on behalf of AMCON and any other offices, branches, stores, warehouses, factories of Chief Ibe and his companies located and/or traced for the purpose of satisfying the indebtedness.

    Justice Obiozor, the presiding judge while granting the order on the application of Prof. Gbolahan Elias, SAN counsel to AMCON, restrained Ibe and his companies, directors, agents, servants and/or privies from operating, withdrawing from or otherwise tampering with the funds belonging to and/or deposited in any of his bank accounts under whatever name or guise in any bank or financial institution in Nigeria. Chief Ibe who would not repay the huge debt owed the Corporation has been in protracted negotiations with AMCON.

    The Court therefore ordered the Inspector General of Police, Assistant Inspectors General of Police, and the Commissioner of Police in charge of Lagos State, its Deputy and all other Police Officers under them to assist Prof. Gbolahan Elias, SAN, the Receiver/Manager and the Bailiffs of the Federal High Court in the enforcement of the orders of the Court. No incident was recorded during the enforcement exercise.

    Afrijet Airlines formally operated from the NAHCO Building on the grounds of Murtala Muhammed International Airport in Ikeja, Lagos. At some point in the history of the airline, it also operated regional cargo operations high profile security flight operations in the Democratic Republic of Congo. The airline later moved to its corporate headquarters in Opebi, Lagos, which was one of the assets AMCON took over yesterday. Afrijet Airlines still maintains an aviation maintenance shop with its sister company Elite Aviation.

    AMCON under Ahmed Kuru, Managing Director/Chief Executive Officer, had continually maintained that it would not be business as usual for all top debtors of the Corporation because some 400 obligors of the Corporation account for more than N4.5 trillion, which is approximately 80 per cent of the total outstanding loan balance of the Corporation’s over 12,000 accounts.

    To deal with the situation however, the Kuru-led AMCON recently increased the tempo of its recovery activities using firmer negotiation strategies as well as utilizing the special enforcement powers vested by the AMCON Act to compel some of its recalcitrant debtors especially those that are politically exposed and business heavyweights to repay their debts.

  • Jimoh Ibrahim urges court to nullify assets seizure

    Jimoh Ibrahim urges court to nullify assets seizure

    Billionaire businessman Jimoh Ibrahim has urged the Federal High Court in Lagos to discharge an interim order obtained by the Asset Management Corporation of Nigeria (AMCON) taking over his assets over an alleged N50billion debt.

    In a statement, Ibrahim said the order AMCON got would only last for 14 days and was not a judgment.

    “AMCON is executing the interim order even when the judge has not signed the execution write,” Ibrahim said.

    The businessman added: “AMCON is aware that we keep a deposit of N86bilion or 172million pounds with Union Bank and AMCON is aware that an application to collect the money from Union Bank is pending before an Ikeja High Court. All of this facts it has not disclosed to an innocent Federal High Court.”

    Ibrahim, who accused AMCON of spreading lies after lying to get the order, said he would not be intimated.

    “It is laughable and a wide ambition to say anyone in Nigeria can seize my property! What a dream!!! We shall abide with the law and any interim order of court even when they are made in error as we are not far away from justice,” Ibrahim said.

    Ibrahim’s companies affected by the order include NICON Investment Limited, Global Fleet Oil and Gas Limited, Nigeria Re-Insurance Company Plc, NICON Insurance Company Plc, Nigeria Stockbrokers Limited and NICON Trustees Limited.

    The court barred the business mogul from withdrawing money from the companies’ accounts in any bank until the suit is determined.

    According to AMCON, Ibrahim’s companies were indebted to it to the tune of over N50billion, adding that despite “protracted negotiations and court battles,” the debt remains unpaid.