The Senate has commenced investigation of alleged misappropriation of N500billion aviation intervention fund released by the federal government in 2011 for the aviation industry.
The senate also through its committee on Aviation and Anti-corruption summoned airline operators who are the beneficiaries over alleged misappropriation of the intervention fund.
Arik airline Ltd, Dana Airlines Ltd, Aro Helicopters, Kabor air Ltd, First Nation Airways Ltd, Chanchangi Airlines, Caverton Helicopter, Overland Airways Ltd, Odenegene Air shuttle services Ltd are the airline operators summoned for questioning.
Minister of Transport and former Rivers State governor, Rotimi Amechi told the committee that the ministry is unaware of the N500billion. He added that there was no record in the ministry and no agency is aware of the fund.
However, representative of the governor of Central Bank , Mr Mudashuru Olayito explained that the Central Bank through the Bank of Industry (BOI) approved the release of N500 billion.
He revealed that N200billion was meant for small and medium enterprise (SME) while N300billion was earmarked for power and aviation out of which N120 billion was released to 10 airlines to help keep them in operation. He said N81 billion is outstanding while N39.5billion has been recovered.
Minister of state for Aviation, Senator Hadi Sirika who described the situation as unfortunate said “Unfortunately I think that something that went terribly wrong in the past.”
“But in the wisdom of the administration that past they said that some banks were going under and responding for international financial crisis but then in their own wisdom they were told to rescue those banks and in an attempt to rescue the banks you found out that some of the large envelops that are there are operators within the industry of Aviation and power,” he said.
