Business & Investment

COVID-19: FG begins paying for N40bn bailout as airlines are upset over official sharing

The federal government has begun paying domestic airlines for N40bn COVID-19 palliative care to mitigate the impact on COVID-19 operations.

However, payments for these funds are not without conspiracy so far, as some airlines have received relief funds, while others may not.

According to a BusinessDay check, the federal government has set up a committee of some members of domestic airlines and top airline staff to ensure that the payment process is transparent and free of rants. I will.

However, some airlines with a valid airline certificate (AOC) said they circumvented the payment of funds, even after performing the process with great care and submitting a request for funds. Claims and is excited about the unorthodox 70-30 sharing scheme. It popped up without relying on them.

At the height of COVID-19, when airlines were forced to shut down all operations, the federal government agreed on palliative care to mitigate the negative effects of the industry, but airlines had access to the palliative care they needed. Recall that the conditions have been created to have a functional AOC.

Operators who crave for anonymity said a few days ago that the AON Board of Directors (BOT) and No. 10 executives shared 3 billion N of the 4 billion N released to some planned operators. I said I didn’t do it.

So far, most charter operators haven’t gotten anything out of the money yet and seem to be wrong about what’s really happening.

James Odaudu, director of the Aviation Department’s press, said the bailout was implemented and sent to the airlines where the AOC is functioning, but not aware of the complex details.

“At this point, we can see that it was released to individual airlines. The consideration is for individual airlines and airlines that have AOCs. Whether charters were included or not,” said Odaudu. He said about, “he said.

According to another source, the process could have been handled more professionally to avoid controversies between airlines. This is because the ministry needs to create a list of qualified candidates so that everyone knows who is qualified, rather than hiding the process in secret. Create doubt.

COVID-19: FG begins paying for N40bn bailout as airlines are upset over official sharing

https://businessday.ng/aviation/article/covid-19-fg-commence-disbursement-of-n4bn-bailout-as-airlines-agitate-over-sharing-formula/ COVID-19: FG begins paying for N40bn bailout as airlines are upset over official sharing

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