Shareholders Unveiled Nigeria Air Not FG – Sirika

Shareholders Unveiled Nigeria Air Not FG - Sirika

Former aviation minister Hadi Sirika claims that Nigeria Air was unveiled by the national carrier’s stockholders rather than the federal government.

On Sunday, the former minister said this during a program on Arise TV which was monitored by BizWatch Nigeria.

“It is their own marketing strategy as equity partners that they came to do this unveiling on a special allowance which is called a chartered flight,” the former minister said.

“Chartered does not mean they paid for it. If there is anybody that paid for it, it would have been the Ethiopian Airlines. No penny is paid.

“It was the owners of Nigeria Air, the consortium of the federal government (five percent) that decided to do the unveiling as part of their marketing strategy.

“So it is not the government that was doing the unveiling to start the operations. Not at all. It was them who did it and I was invited.”

Sirika dismissed charges that the national carrier’s debut was cloaked in secrecy, calling the claims “mind-boggling and disturbing.”

“During the procurement stage, this airline was advertised in the Economist and national dailies.” “There was also a bidding process, and members of the Airline Operators of Nigeria (AON) were present at the bidding conference,” he explained.

Meanwhile, Sirika stated that the government has spent over N3 billion over the last seven years to ensure that the airline is functioning.

“All of the monies voted for the national carrier in 2016, 2017, 2018, 2019, 2020, 2021, 2022, and 2023 totaled N5 billion, but all that was released was in the neighborhood of N3 billion — not N85 billion,” he claimed.

5% stake

According to the former aviation minister, Nnaji Nnolim, the former chairperson of the House Committee on Aviation, informally demanded a 5% interest in Nigeria Air.

“He (Nnaji) asked to give him five percent of Nigeria Air to carry him along with his people, and I said to him at that time that honourable, this is a bidding process that has taken place, and some people won. So, I think you should go to those people and ask for the five percent,” Sirika said.

“I want to assure you that at that point, even the five percent held by the federal government will go to market. So he should get his money ready and buy for him and his people, according to him.”

When asked to clarify what “his people” meant, the former minister said Nnaji could be referring to anybody — not necessarily other members of the lower chamber.

“He said he wants him and his people. His people could be his family, members and it could be leadership. I did not know what this meant, but he said he and his people needed five percent. I am saying that he should relax and approach the owners. That’s exactly what I told him in camera,” he said.

In addition, the former minister chastised Nnaji and the aviation committee for holding a “predetermined hearing.”

“I was a member of the house of reps 20 years ago; 10 years ago, I was a senator. I know how the workings are. He called for a public hearing. And right after the public hearing, he just turned the paper and read the riot act,” he said.

“The practice in the national assembly is that after hearing people and the complaints, you sit down as a committee. The clerks will do their job, you will then sit down to discuss the issues, raise them, approach the whole house of reps and take position of the house plus leadership and come back and make your findings known; but you do not immediately read the riot act out. It means it is predetermined.”

Unveil of Nigeria Air

Nigeria Air, which has a 49 percent ownership structure held by Ethiopian Airlines, a 46 percent ownership structure held by Nigerian private investors (SAHCO, MRS, and other institutional investors), and a five percent ownership structure held by the federal government, was unveiled about three days before the end of former President Muhammadu Buhari’s administration.

In response to the debut, the House of Representatives Committee on Aviation criticized the procedure that led to the introduction of Nigeria Air, calling it a “fraud.”

Dapo Olumide, CEO of Nigeria Air, testified before the committee that the aircraft utilized for the national carrier’s unveiling was a chartered flight from Ethiopian Airlines.

Sirika agreed with Olumide, saying that while the jet was hired, the government was not liable for paying for the flight.

He explained that the debut of the single aircraft was part of the Nigeria Air partners’ marketing strategy, and that the national carrier will start operations once the Air Operator Certification (AOC) process was finished.

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