FG takes over troubled Arik Air

The Federal Government has taken over the operations of troubled Arik Air to save it from total collapse. The troubled airline faces huge financial debt, which may collapse its operations.

The takeover is undertaken by the Asset Management Corporation of Nigeria (AMCON). In a statement, AMCON assured “all stakeholders that the intervention is in the best interest of the general public, workers, creditors and other aviation interest groups.”

The development will afford Arik Airlines, which is the largest local carrier to go back to regular and undisrupted operations, avoid job losses, protect investors and stakeholder funds as well as ensure safety and stability in the already challenged aviation sector.

The airline would now be managed by Capt. Roy Ukpebo Ilegbodu, a veteran aviation expert under the receivership of Oluseye Opasanya.

Explaining the rationale for the latest intervention in Arik Airlines, Senator Hadi Siriki, minister of State for Aviation, said, “We believe that this appointment is timely and will stabilize the operations of the airline.

“This will enhance the long term economic value of Arik Air and revitalize the airline’s ailing operations as well as sustain safety standards, in view of Arik Air’s pivotal role in the Nigerian aviation sector.”

The minister who further pledged that the federal ministry of Aviation would support the new management of the strategic carrier added that all necessary steps have been taken to ensure that there would be no undue disruption on Arik’s regular business operations or activities of other stakeholders, on account of the recent changes in the leadership and management of Arik Airline.

On February 8, Arik temporarily suspended its flight operations to the John F. Kennedy International Airport, New York, United States, claiming that the two Airbus A330-200 aircraft dedicated to the route have been taken to France for C check at the same time.

Equally more than eight aircrafts are currently grounded at the tarmac making it difficult to meet their routine commercial flights.