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‘Patently false’ — Arik Air debunks allegations of paying $40m duty waiver to customs

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Arik Air has denied allegations of paying $40 million duty waivers to the Nigeria Customs Service (NCS) as well as the illegal sales of three aircraft.

A recent report had alleged that the airline abused the duty waiver policy, adding that the firm illegally sold some aircraft and aircraft parts with fake documents.

Responding in a statement on Saturday, the airline said the allegations of misapplication of import duties and illicit sale of aircraft are “without merit and is patently false”.

The airline said the “click-bait of $40 million duty waiver” should be ignored, adding that the duties are paid in naira.

Arik Air (in receivership) said the use of inflated and unsubstantiated sums in newspaper headlines has been part of a strategy to tarnish its reputation.

“Arik is co-operating with the customs in respect of these allegations and they are being provided with comprehensive details of the Aircraft, which will demonstrate clearly that there has been no misdeeds on the part of the receivership,” the statement reads.

“The public is also advised to be wary of those who, if they cannot regain control of Arik, would rather kill it.”

The airline said all duty waivers granted to the firm before the receivership period, under the leadership of Johnson Arumemi-Ikhide, “were not properly documented and handed over to the receivership team as required by law”.

“It was Johnson who pledged various Arik Aircraft and engines to various local and international lenders, possibly in violation of the terms of the waivers,” the airline said.

“Arik’s financial struggles with local and foreign creditors have been well-documented, including enforcement actions against assets pledged to them, which may have enjoyed waivers.

“It is also worth mentioning that as at today, there is a complete duty waiver on commercial planes.”

THE N400 BILLION DEBT TO AMCON

In the statement, Arik Air also admitted that it remains indebted to AMCON to the tune of over N240 billion.

“Together with Rockson and Ojemai Farms, all companies owned by Johnson Arumemi-Ikhide, they are indebted to the tune of over N400 billion to AMCON. Rather than engage in fruitless campaigns of calumny, they should approach AMCON to pay their loans,” the airline added.

Providing further clarifications on the debt, the airline explained that it followed due convention and protocol, aimed at reducing risks for creditors, and consequently, borrowing costs to debtors, through the resulting improved legal certainty.

The aviation firm added that the Cape Town convention intends to give international assurance to the effect that where a debtor defaults in the payment of loans or leases over a plane, the creditor can easily take possession of the plane.

In a separate letter, dated June 24, 2014, Arik noted that an irrevocable de-registration and export request authorisation (IDERA) was issued by the Nigeria Civil Aviation Authority (NCAA) on the CRJ 900 aircraft.

“We assure the public that Arik is not a party to this. It is Johnson Arumemi-Ikhide that has done everything possible to prevent lenders from taking full benefit of their IDERA,” the airline said.

“Arik had paid lease sums directly to EDC in settlement of the loan obligations of JEM Leasing Limited to EDC, maintaining that Arumemi-Ikhide, on behalf of Arik (pre-receivership), had approached the federal government of Nigeria for a waiver of customs duty on the planes, which was granted.”

‘ILLEGAL SALE OF AIRCRAFT AND PARTS IS UNFOUNDED’

Arik also denied claims that it illegally sold aircraft and aircraft parts during the receivership period, describing the report as “baseless and unfounded”.

In June 2023, the airline announced the decision of JEM Leasing Limited, the owners of the CRJ 1000, and its financiers, to sell the aircraft.

Arik said the buyer of the aircraft had also decided to tear it down.

According to the statement, the aircraft — Q-400, CRJ-1000, and CRJ-900 — were acquired on loan by Arumemi-Ikhide through the Export Development Canada (EDC).

“EDC confirmed in a letter dated April 21, 2023, that they sold the two CRJ900 aircraft. The decision to sell was made by EDC, not the receivership team of Arik,” the airline added.

“Regarding the CRJ1000 aircraft, EDC negotiated with a buyer who chose to dismantle it into its constituent parts.”

Arik said the sale of the CRJ aircraft was a lender-led transaction, adding that it airline only exercised its rights to exit an unprofitable lease arrangement.

Business

31 electricity towers affected as vandals destroy transmission lines in Edo communities

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The Transmission Company of Nigeria (TCN) says vandals in Benin, Edo state, have destroyed 31 transmission towers.

In a statement on Friday, Ndidi Mbah, TCN’s director of public affairs, confirmed that vandals attacked transmission towers in Okada and Ofosu communities along the 330kV Benin-Egbin and Benin-Omotosho transmission lines.

Mbah said the vandalised towers, which suffered significant damage with critical components removed earlier in November, were discovered by TCN linesmen during a routine patrol.

“A total of 31 towers were affected in this incident,” she said.

“TCN engineers from the Benin Sub-Region have initiated repairs to prevent the collapse of the affected towers and to avoid disruption of bulk power supply.”

‘AHOADA-YENAGOA LINE UNDER REPAIR TARGETED BY VANDALS’

Mbah also said its Ahoada-Yenagoa 132kV line, which was under repair following a previous attack, was once again targeted by vandals.

The TCN spokesperson confirmed that the attack, which occurred on November 19, affected towers 29 to 31 and resulted in the theft of approximately one-third of the conductor.

On August 14, TCN announced that Bayelsa state would face a prolonged power outage following the destruction of 13 transmission towers along the Ahoada-Yenagoa 132kV double circuit transmission line by vandals.

The transmission company, on October 29, reported that 65 percent of the damaged transmission towers had been repaired.

The company said 17 transmission towers had been successfully erected, with work continuing on the remaining three.

“A team of TCN engineers, led by Engr. Emmanuel Akpa, General Manager of the Port Harcourt Region, has conducted an inspection of the site,” the statement reads.

“Preliminary findings indicate that the incident occurred at night. In an attempt to prevent further theft while repair arrangements are being made, local security has been engaged at Ula Ikata in Ahoada East LGA to secure the site until repairs are completed.

“Additionally, the line will be energized from the Ahoada end as a preventive measure.”

Mbah added that efforts are underway to replace the stolen 250mm conductor.

Despite challenges posed by difficult terrain and flooding, she said the restringing of the Ahoada-Yenagoa 132kV line is approximately 85 percent complete.

The public relations officer stressed that the incidents underscore the urgent need to address the growing problem of vandalism and theft, which continue to affect Nigeria’s power infrastructure.

She urged the public to support efforts to tackle such criminal acts, which have hindered the expansion and stability of the national grid.

Mbah also called on security operatives and local communities to remain vigilant in protecting power infrastructure in their areas as TCN intensifies its efforts to safeguard its installations.

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Business

NCAA issues aerodrome certification for Lagos, Abuja international airports

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The Nigeria Civil Aviation Authority (NCAA) has issued Aerodrome Certification for Murtala Muhammed International Airport in Lagos and Nnamdi Azikiwe International Airport in Abuja.

This recertification is a significant achievement, highlighting the ongoing improvements in the safety standards of Nigeria’s international airports.

The announcement was conveyed via a post on the official X (formerly Twitter) account of the Federal Airports Authority of Nigeria (FAAN) on Friday.

The Aerodrome Certificates were formally presented to the Managing Director/Chief Executive of FAAN, Mrs. Olubunmi Kuku, by the Acting Director General of the NCAA, Capt. Chris Najomo.

“@NigeriaCAA just issued Aerodrome Certification for the Murtala Muhammed International Airport Lagos and the Nnamdi Azikiwe Airport Abuja. The recertification is a major boost and attestation to the continued improvements of the safety standard of our Airports,” the tweet read in part.

The certification confirms that Lagos and Abuja airports adhere to the strict safety, operational, and technical standards of the International Civil Aviation Organization (ICAO). This milestone is anticipated to enhance trust among domestic and international airlines, strengthening Nigeria’s standing in global aviation.

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Business

Lagos state government plans traffic diversion in Ikeja for 10km Capital City Race today

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The Lagos State Government has announced plans for a traffic diversion to accommodate the 10km Capital City Race scheduled for Saturday, November 23, 2024.

The race, which runs between 5:00 AM and 11:00 AM, will affect several major roads in the Ikeja axis, requiring motorists to explore alternative routes during the event.

A statement published on the official X (formerly Twitter) account of the Lagos State Commissioner for Transportation, Oluwaseun Osiyemi, on Friday, highlighted the affected routes.

These include Shoprite Alausa, Billings Way, Kudirat Abiola Way, Opebi Link Bridge, Allen Avenue, Adeniyi Jones, and Oba Akran Avenue.

The race will conclude at the Police College Sports Secretariat/Gym. Junctions and intersections along these roads will be temporarily blocked and manned by officials from the Lagos State Traffic Management Authority (LASTMA), the Nigeria Police Force (NPF), the Federal Road Safety Corps (FRSC), and the Lagos State Neighborhood Corps (LSNC) to ensure a smooth event.

“The Lagos State Government has announced that traffic will be diverted to accommodate the maiden edition of the 10-kilometer Capital City Race between 5:00 am and 11.00 am tomorrow Saturday,  23rd November,  2024. 

“To this end, the following route starting from; Shoprite Alausa Ikeja inwards Billings Way to Kudirat Abiola Way, Opebi Link Bridge, Opebi Glo Tower inward Allen Avenue, Allen Junction, GTBank on Adeniyi Jones,  AP Filling Station on Oba Akran Avenue, Samsung Authorized Service Centre to Police College Sports Secretariat/Gym will be partially closed off to vehicular movement. 

“Consequently, all junctions and intersections from Shoprite Alausa Ikeja to the destination (Police College Sports Secretariat/Gym) will be blocked with barriers, manned by LASTMA, NPF, FRSC, and LSNC to prevent other road users access to the main race corridor,” the statement read in part.

The Lagos State Commissioner for Transportation urged motorists to remain patient as the road closures are part of the traffic management plan for the event. He added that intersections will be intermittently reopened as the race progresses to minimize inconvenience for road users.

Motorists are advised to plan their movements accordingly and cooperate with traffic officials to ensure the success of the inaugural Capital City Race.

In addition to the planned traffic diversion in Ikeja for the 10km Capital City Race, other traffic diversions are currently in effect across Lagos to accommodate critical infrastructure projects.

The Lagos State Government recently announced a 15-month traffic diversion at Mile 2, which began on November 11, 2024, to facilitate the construction of the new Transport Interchange Terminal. This project aims to integrate rail, bus, water, and non-motorized transport, addressing the city’s growing transportation needs.

The diversion affects Loop 1 on the Apapa-bound lane and Loop 4 on the Badagry-bound lane and will last until February 16, 2026. Motorists are advised to use alternative routes, such as Akinwande Road for Badagry-bound traffic and Durban Road for Apapa-bound traffic, to ease congestion.

Additionally, a three-month traffic diversion on the Marine Bridge, outbound Apapa, commenced on Monday, November 18, 2024. This diversion, set to run until February 25, 2025, is to allow for urgent asphalt repairs overseen by the Federal Ministry of Works.

Motorists heading toward Lagos Island are advised to use the Eko Bridge via Costain Roundabout, while those heading to Ijora Causeway or Iddo can navigate through Ijora 7up or other designated routes.

These diversions are part of ongoing efforts by the Lagos State Government to improve transportation infrastructure while minimizing disruption for road users.

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Bodex F. Hungbo, SPMIIM is a multiple award-winning Nigerian Digital Media Practitioner, Digital Strategist, PR consultant, Brand and Event Expert, Tv Presenter, Tier-A Blogger/Influencer, and a top cobbler in Nigeria.

She has widespread experiences across different professions and skills, which includes experiences in; Marketing, Media, Broadcasting, Brand and Event Management, Administration and Management with prior stints at MTN, NAPIMS-NNPC, GLOBAL FLEET OIL AND GAS, LTV, Silverbird and a host of others

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