BREAKING: FG Saves Arik From Collapse, Takes Over Operations

By Ikenga Chronicles February 9, 2017

Operations of the  embattled Arik Air has been reportedly taken over by the  Federal Government following its inability to meet up with its financial  obligation.

‎The challenges facing the  airline, which carries about 55 percent of the load in the country, has been  attributable to its bad corporate governance, erratic operational challenges, inability to pay staff salaries and heavy debt burden among other issues.

These have led to the calls for authorities in the country to intervene before Arik goes under like many before it. It will now  be managed by Capt. Roy Ukpebo Ilegbodu, a veteran aviation experts under the receivership of Oluseye Opasanya.

Asset Management Corporation of Nigeria, (AMCON), in a statement said: “We assure all stakeholders that the intervention is in the best interest of the general public, workers, creditors and other aviation interest groups.”

However, the development will afford Arik Airlines time to return  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.

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.”

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