In response to the economic downturn precipitated by the COVID-19 pandemic and the ensuing lockdown in 2020, private airlines received financial assistance to weather the crisis. The aviation industry bore the brunt of the pandemic-induced restrictions on movement, leading to a significant downturn in air travel demand.
To mitigate the adverse impacts on private airlines, the Federal Government of Nigeria disbursed a substantial sum of N4 billion during the lockdown period. This financial aid aimed to support the struggling aviation sector and ensure the survival of private airlines amidst the unprecedented challenges they faced.
However, concerns have arisen regarding the transparency and accountability of the funds disbursed to private airlines. In light of this, the House of Representatives has taken proactive measures by demanding reports from these airlines regarding the allocation and utilization of the relief funds awarded to them.
This move underscores the importance of accountability and oversight in the management of public funds, particularly during times of crisis, as the government seeks to ensure that financial assistance is effectively utilized for its intended purpose and benefits the aviation industry as a whole.
During an investigative hearing focused on the alleged mismanagement of COVID-19 relief funds by various Ministries, Departments, and Agencies (MDAs) of the federal government, as well as other entities that received financial assistance, the House of Representatives Committee on Public Accounts has taken a decisive step.
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Chairing the proceedings with diligence and a commitment to accountability, the committee has issued a one-week ultimatum to all private airline operators in the country.
This ultimatum handed down during the investigative hearing, underscores the committee’s dedication to ensuring transparency and responsible stewardship of public funds.
Recognizing the gravity of the situation and the need for swift action, the committee has set a clear deadline for private airline operators to provide detailed reports on their utilization of COVID-19 relief funds.
In doing so, the committee aims to hold accountable all entities entrusted with public resources, ensuring that funds allocated for pandemic relief efforts are used judiciously and following established protocols.
By imposing this ultimatum, the committee seeks to compel private airline operators to furnish comprehensive explanations regarding their receipt and allocation of COVID-19 relief funds, thereby promoting greater transparency and accountability in the management of public finances.
As the investigative process unfolds, the committee remains steadfast in its commitment to upholding the principles of good governance and fiscal responsibility.
Through its rigorous oversight efforts, the committee endeavours to restore public trust and confidence in the utilization of relief funds, reaffirming its commitment to serving the best interests of the Nigerian people.
The committee, led by Bamidele Salam, a member of the Peoples Democratic Party representing Osun State, has taken a decisive stance by issuing an ultimatum during the investigative hearing on Friday.
This hearing, which delves into the alleged mismanagement of the relief funds by various ministries, departments, and agencies of the Federal Government, underscores the committee’s commitment to transparency and accountability in governance.
Chairing the proceedings with a firm hand, Bamidele Salam has set a deadline for action, signalling the committee’s resolve to address the issue with urgency and diligence.
The ultimatum serves as a clear directive to the implicated ministries, departments, and agencies to provide a detailed account of their handling of the relief funds.
As the investigative hearing progresses, the committee remains steadfast in its pursuit of accountability and justice, working tirelessly to uphold the principles of good governance and fiscal responsibility.
Here’s How The COVID-19 Relief Funds Were Allocated To Private Airlines
FinTech Telex recalls the FG’s 2020 approval of ₦4 billion as a bailout fund for airlines during the COVID-19 lockdown. Former Aviation Minister, Hadi Sirika, confirmed the approval and mentioned an additional ₦1 billion for aviation agencies’ administrative functions.
Funds were disbursed to seven scheduled operators (Dana, Overland, Air Peace, Azman, Aero, Arik, and Max Air) totalling ₦2.84 billion, while 20 non-scheduled operators, including cargo and private jet services, received ₦949,909,000.
Azman Airlines, represented by its marketing manager, Odum Chizoba Uju acknowledged receiving ₦367.9 million, allocated for operational expenses like maintenance, spare parts, fueling, Forex purchasing, and insurance premiums. A representative of Aero Contractor, Abdulmalik Musa confirmed receiving ₦217.3 million from the COVID-19 relief fund.
