AMCON vows to recuperate N227bn from Arik Air

The Asset Administration Company of Nigeria (AMCON) has stated it’s decided to recuperate N227 billion debt from Arik Air.

The Head, Company Communications of AMCON, Mr Jude Nwauzor, made this recognized throughout an interactive session with aviation correspondents on Friday in Lagos.

In line with him, AMCON’s plan to liquidate Arik Air remains to be on as efforts to revive the airline have to date proved abortive.

He stated that the actions of AMCON, a debt restoration company, is backed by Sections 6 and 48 of the AMCON Act.

Nwauzor stated that the assembly was to make clear some misrepresentations on the problem.

“AMCON continues to face resistance from quite a few debtors who’re unwilling to pay and not using a battle.

“One in every of these debtors is Arik Air Ltd. (in Receivership), an airline firm owned by Sir Johnson Arumemi-Ikhide, who can be the promoter of Rockson Nig. Ltd. (an influence infrastructure firm), Ojeimai Farms Ltd. and Ojemai Funding Ltd.

‘Arik Air operations not grounded’
“These corporations’ money owed have been transferred by numerous banks to AMCON as a consequence of their non-performance, with a complete indebtedness of N455.17 billion as at Dec. 31, 2024.

“The choice to categorise the mortgage as non-performing was made by Union Bank of Nigeria, in accordance with the Prudential Tips of Central Bank of Nigeria,” he stated.

He stated that, in a letter dated Oct. 22, 2010, the financial institution knowledgeable Arik that its loans, which amounted to N70 billion at the moment, have been non-performing and posed a risk to the financial institution’s stability.

“This mortgage publicity was a big consider Union Financial institution’s monetary challenges.”

Nwauzor added that Arik Air owed AMCON N227.63 billion, whereas Rockson Engineering owed it N163.50 billion and Ojemai Farms, N14 billion.

He emphasised that AMCON was decided to recuperate the money owed.

Nwauzor disclosed that solely 9 Arik Air plane have been serviceable on the time AMCON stepped in.

(NAN)