Nigerian Federal Government Considers Seizing Dana Air Assets to Refund Stranded Passengers

The Nigerian Federal Government is exploring the seizure of Dana Air's assets to facilitate refunds for passengers and travel agents impacted by the airline's operational suspension. Festus Keyamo, Nigeria's Minister of Aviation and Aerospace Development, disclosed this during a fourth-quarter stakeholder engagement in Abuja, emphasizing the government's commitment to protecting consumer interests.

Dana Air's flight operations were suspended in April 2024 by the Nigeria Civil Aviation Authority (NCAA) following a runway excursion incident involving an MD-82 aircraft at Murtala Muhammed International Airport. The NCAA initiated a comprehensive safety and economic audit of the airline, leading to the suspension of its Air Operator Certificate (AOC) effective April 24, 2024. This action underscored the regulatory body's prioritization of safety over commercial considerations.

Minister Keyamo stated that he would direct the NCAA to thoroughly investigate the issue of trapped funds and ensure that affected passengers and agents receive their due refunds. He suggested that any future attempts by the airline's entities or individuals to re-enter the aviation sector would be contingent upon settling these outstanding debts. The proposal to "cannibalise their revenue and pay people" highlights the government's firm stance on accountability.

According to the NCAA Director-General, Capt. Chris Najomo, represented by Dr. Ben Omogo, over 9,529 passengers received refunds or compensation between January and September of the current year. Additional claims are reportedly under review and being processed in accordance with established regulatory timelines. This ongoing effort aims to mitigate the financial impact on travelers affected by the operational halt.

Keyamo reiterated that safety remains the paramount concern for the Nigerian government, asserting that allowing Dana Air to continue operations under unsafe conditions would have posed significant risks to human lives. The decision to suspend the airline was a direct response to identified safety records and a lack of operational standards, reinforcing the regulatory framework designed to safeguard the Nigerian flying public.