FAAN, AIC Crisis Worsens

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Simon Ateba/Aviation correspondent

The war of words between the Federal Airports Authority of Nigeria, FAAN, and its concessionaire at the Lagos airport, AIC Limited, has escalated.

The crisis worsened on Monday with AIC saying it was still in “full possession” of a plot of land at the Lagos airport despite an unfavourable court ruling last week and FAAN reacting angrily that the company’s claim was designed “to pull wool over their eyes”.

Late Justice Kayode Eso had on 1 June 2010 awarded AIC the sum of US$48.124million as damages and loss of income arising directly from FAAN’s frustration of the MMA International Airport Hotel Development Land Concession Agreement.

FAAN proceeded to the Federal High Court in Lagos and on 19 June 2013, Justice Ibrahim Buba set aside the award of the arbitration court made in 2010 which was never obeyed by FAAN.

However, the day after the Federal High Court ruling, FAAN said in a statement signed by Yakubu Dati, its spokesperson, that it was a law abiding agency and had reclaimed the land in line with the ruling.

But AIC said on Monday FAAN misread the judgment and fed the public with falsehood and outright lies.

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“There was nowhere in the said judgments wherein Justice Buba directed FAAN to repossess the land. No pronouncement was made by the judge in respect of the said MMA International Airport Hotel Development Land Concession Agreement. AIC Limited remains in full possession of the project site,” AIC said in a statement.

FAAN reacted angrily at the statement saying the company made “untenable claims”.

“We hereby advise members of the public, especially aviation stakeholders, to disregard such untenable claims by AIC Ltd designed to pull wool over their eyes, and assure them that the ruling by Hon. Justice Buba on that land concession still stands,” said Yakubu Dati, FAAN spokesperson.

Dati added: “We wish to assure the public that as a law abiding and responsible corporate citizen, the Federal Airports Authority of Nigeria will not engage in any act that would amount to disrespect to the judiciary, in the same way that we shall not allow any unruly concessionaire to trample on the collective right of all Nigerians, which FAAN represents on this issue.

“We hope that AIC Ltd knows that filing a suit in a law court does not translate to a judgment. That the company has filed an appeal against the judgment of Hon. Justice Buba at the Court of Appeal does not mean that it has received a judgment countering the earlier judgment given by Hon. Justice Buba on June 19, 2013.”

AIC has filed an appeal at the Lagos Division of the Court of Appeal against the judgment of the Federal High Court.

“In addition, we have filed a Motion for injunction against FAAN’s taking any unlawful action to repossess the land by force from AIC Limited,” AIC said in a statement.

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