Government Halts Arik Air Operations Amid Legal Dispute

The Ministry of Aviation and Aerospace Development, on behalf of the federal government, has issued an order to halt Arik Air's operations. This was announced on Tuesday, July 30, in a statement on X by the Minister of Aviation, Festus Keyami.

The Asset Management Corporation of Nigeria (AMCON), which is currently in charge of the airline, responded to the Minister's order by releasing a statement signed by Captain Roy Ilegbodu, the Chief Executive Officer. In it, the management of the airline, which is currently in receivership, expressed dismay at the Minister's directive to suspend operations.

According to the airline, “The management of Arik Air (In Receivership) is dismayed by the sudden order issued by the Honourable Minister of Aviation to ground our aircraft. This decision, made without warning or consultation, has serious repercussions for our valued passengers, dedicated employees, and the broader Nigerian economy.

“Our priority has always been to connect people and facilitate commerce, especially on critical domestic routes. The grounding of our fleet disrupts these vital services, leaving passengers stranded and inflating already high travel costs. This decision hurts everyday Nigerians who rely on our flights for business, family, and essential activities. The decision also disregards ongoing judicial processes.”

The airline further recalled that Engineer Arthur Eze and Atlas Petroleum International Limited had been awarded a judgment on February 26, 2016. However, AMCON is arguing its secured interest in Arik's assets in a case currently pending in the Federal High Court.

“Despite this, a writ of attachment was issued on July 18, 2024, targeting our aircraft. Subsequent to this, and further to an originating motion filed by AMCON, the High Court of the FCT on July 25, 2024, clearly instructed all parties to maintain the status quo. We, therefore, are perplexed as to the grounding of our fleet, which is an overreach of the ongoing judicial processes and directives of the court.

“We believe this action undermines the rule of law and sets a dangerous precedent, prioritizing unsecured private interests over the public good and the rights of secured creditors. We are committed to following the legal process and have full faith in the judiciary to resolve these matters fairly.

“Arik has always been a proud partner in Nigeria’s growth, providing reliable and safe air travel. We urge the authorities to reconsider this decision, lift the grounding order, and allow us to continue serving the public and supporting the economy. We stand with our passengers and employees during this challenging time and are working tirelessly to resolve this situation. Your support and understanding are greatly appreciated.

“We sincerely regret any inconvenience caused to our esteemed passengers,” the statement also said.