Airlines told to account for 4 Billion Naira COVID-19 Funds

The Public Accounts Committee (PAC) of the House of Representatives, chaired by Rep. Bamidele Salam, has directed private airlines that received 4 billion naira in COVID-19 relief funds for the aviation sector to refund the money if they can’t justify its judicious use within seven days.

According to a further report, Chairman Salam emphasized the necessity for transparency and accountability in the utilization of public funds.

Despite appearances by industry stakeholders, including Aero Contractors, Azman, Newrest, and representatives from the Federal Ministry of Aviation and Aerospace Development, several failed to provide satisfactory explanations regarding the allocation and expenditure of the funds.

Azman Airlines, represented by its Marketing Manager, Odum Chizoba Uju, acknowledged receiving N367,935,779.95, purportedly allocated for various operational expenses such as aircraft maintenance, spare parts, fueling, Forex purchasing, and insurance premium paid.

Aero Contractor, represented by its Station Manager, Mr. Abdulmalik Musa, disclosed receiving N217,345,542.05 for the COVID-19 intervention fund.

Musa outlined the fund’s utilization for Airport handling and facility payment, fueling payment, onboard catering payment, pilot training payments, and lease rental payments.

However, during the committee session, Hon. Ojuawo Adeniyi, a member and former pilot with the Nigeria Airforce from Ekiti state, sharply reacted to the submissions.

Adeniyi challenged the operators, stating that the services claimed were applicable only during the regular operations of airlines, raising concerns about the justifiability of the fund utilization.

In response to these challenges, a motion was initiated by Hon. Akiba Bassey, another committee member.

The motion proposed that if justifiable evidence for expenditure is not presented promptly, the involved airlines should refund the amount received to the Federation account.

This motion garnered unanimous support from committee members, underlining the committee’s commitment to ensuring fiscal responsibility and transparency in the disbursement of public funds.