The federal government has directed the immediate suspension of Arik Air aircraft operations.
Festus Keyamo, minister of aviation and aerospace development, gave the directive on Tuesday.
The minister did not state the reason for the decision.
Reacting to the development in a statement, Roy Ilegbodu, chief executive officer (CEO) of Arik Air (in receivership), said the minister’s directive came without warning or consultation.
He also said the decision would have a ripple effect on the firm and the country’s economy.
“The management of Arik Air (In Receivership) is dismayed by the sudden order issued by the honourable minister of aviation to ground our aircraft,” Ilegbodu said.
“This decision, made without warning or consultation, has serious repercussions for our valued passengers, dedicated employees, and the broader Nigerian economy.
“Our priority has always been to connect people and facilitate commerce, especially on critical domestic routes.
“The grounding of our fleet disrupts these vital services, leaving passengers stranded and inflating already high travel costs.
“This decision hurts everyday Nigerians who rely on our flights for business, family, and essential activities.”
In February 2017, Arik Air was taken over by the federal government via the Asset Management Corporation of Nigeria (AMCON) due to the company’s huge debt profile, estimated at over N300 billion.
The government, following the takeover, immediately dissolved the airline’s management team and appointed a receiver manager.
Further commenting on the latest development, Ilegbodu said the minister’s decision to ground the airline also “disregards ongoing judicial processes”.
“On February 26, 2016, a judgment was made in favor of Atlas Petroleum International Limited and Engineer Arthur Eze,” he added.
“However, there is an ongoing case in the federal high court, where Asset Management Corporation of Nigeria (AMCON) is asserting its secured interest in Arik’s assets.
“Despite this, a writ of attachment was issued on July 18, 2024, targeting our Aircraft, after which, further to an originating motion filed by AMCON, the High Court of the FCT on July 25, 2024, clearly instructed all parties to maintain status quo.
“We therefore are perplexed as to the grounding of our fleet, which is an overreach of the ongoing judicial processes and directives of the court.
“We believe this action undermines the rule of law and sets a dangerous precedent, prioritizing unsecured private interests over the public good and the rights of secured creditors.”
Ilegbodu also said the airline is committed to following the legal process and has full faith in the judiciary to resolve the issues fairly.
“Arik has always been a proud partner in Nigeria’s growth, providing reliable and safe air travel,” he said.