Nigerian Airspace Management Agency (NAMA) has suspended the operations of Arik Airlines due to a $2.5 million debt from Atlas Petroleum International Limited.
The development was disclosed in a statement issued on Tuesday by Abdullahi Musa, NAMA’s Director, Public Affairs and Consumer Protection.
According to the statement, this decision has been taken in compliance with the court's decision regarding the loan matter.
NAMA said, “On the 19th of July 2024, the Enforcement Division of the FCT High Court enforced an order made by the court in respect of a $2.5 million debt owed by Arik Airline to Atlas Petroleum International Limited, which resulted in the seizure of their aircraft.”
It said the court has given Arik notice of a public auction of the planes on July 26 if he fails to pay the judgment debt.

NAMA said, “These were all also served on our Agency and our supervising Minister, the Minister of Aviation. The record shows that on March 8, 2016, the Judgment Debtor (ARIK) appealed the judgment of the High Court of Lagos State rendering judgment against it to the Appeal Court and on September 30, 2021, the appeal was unanimously dismissed by the Appeal Court with costs.”
According to the statement, Arik again appealed to the Supreme Court for permission to appeal against the Court of Appeal’s decision, and on January 9, the Supreme Court delivered its judgment dismissing Arik’s application for permission to appeal.
NAMA reports that the judgment was registered at the FCT High Court and on June 26, Justice Oye Adeniyi, who was then sitting at Court 8, Maitama in Abuja, gave the order after hearing a petition (No: M/9785/2024) filed by Atlas Petroleum.
The statement partly said, “In order to satisfy the judgment debt, all movable assets belonging to the judgment debtor are being attached, including the aircraft of the judgment debtor with registration numbers: B737-700/ 5N-MJF, B737-800/ 5N-MJQ, DASH8-Q400 and 5N-BKX.”
NAMA clarified that copies of the court order and the decision certificate were served on it and the Aviation Minister, but Arik obtained an ex parte order restraining further implementation of the court decision, although he has not been formally served with the ex parte order.
“In these circumstances, since the first execution was carried out by seizing the aircraft, further execution by way of sale may be prevented unless the parties go back to court to resolve the issues,” NAMA said.
“However, in order to preserve the subject-matter of the present dispute, which is the aircraft in question (regiment) which have already been attached, we have decided to comply with the effect of the Supreme Court order by grounding the aircraft (subject of dispute) from flying, so that they are not taken outside the jurisdiction of the court or tampered with in a manner that would frustrate the court.”
The agency also said Aviation Minister Festus Keyamo, being a senior advocate, understands the implications of the Supreme Court order dismissing the motion for leave to appeal.
“The minister shall not jeopardise his licence as a legal practitioner or his privileges as a Senior Advocate of Nigeria by engaging in acts that frustrate the order of the Supreme Court of Nigeria,” NAMA said.
NAMA urged the parties involved in the dispute to resolve their issues as soon as possible so that Arik aircraft can resume flight operations.
Arik Airline's response
Reacting to the situation on Tuesday, Arik’s Chief Executive Officer, Roy Ilegbodu, said the decision was taken without any warning or consultation. He said the decision would have serious implications for the airline’s passengers, dedicated staff and the 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 adding to already high travel costs. This decision hurts Nigerians who depend on our flights for business, family and essential activities,” the official said.
He said the NAMA decision also disregards ongoing judicial processes, pointing out that on February 26, 2016, judgment was given in favour of Atlas Petroleum International Limited and Engineer Arthur Eze.
He, however, disclosed that there is an ongoing case at the Federal High Court, where the Asset Management Corporation of Nigeria (AMCON) is claiming its secured interest in Arik’s assets.
Despite this, Mr Ilegbodu said, on July 18, an attachment order was issued targeting Arik’s aircraft.
“The High Court of the FCT had given a clear direction to all parties to maintain status quo on July 25, 2024. We are therefore surprised by the grounding of our fleet, which is in violation of the ongoing judicial processes and court directives,” the official said.
“We believe this action undermines the rule of law and sets a dangerous precedent in which unsecured private interests are prioritized over the public good and the rights of secured creditors. We are committed to following the legal process and have full confidence in the judiciary to resolve these cases fairly.”
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Mr Ilegbodu said Arik Airlines has always been a proud partner in Nigeria’s development, providing reliable and safe air travel. He urged the authorities to reconsider their decision.
“Lift the grounding order, and allow us to continue serving the public and supporting the economy. We stand with our passengers and employees during this challenging time and are working tirelessly to resolve this situation. Your support and understanding are greatly appreciated.”
“We regret any inconvenience caused to our esteemed passengers,” he said.
measures
Meanwhile, the Federal Airports Authority of Nigeria (FAAN), in a statement issued by its Director, Public Affairs and Consumer Protection, Obiageli Orah, said it has implemented proactive measures to assist stranded Arik Air passengers.
FAAN said, “This is to inform the public that the Federal Airports Authority of Nigeria (FAAN) is aware that Arik Airline has been grounded due to litigation issues between the airline and its lenders.”
It said the authority has directed all airport managers across the country to assist the affected passengers as Arik Airlines works on plans to rebook and transfer passengers to other available flights.
“For further information, please contact Arik Airline on the following numbers: 0700003592745, 02012799999. FAAN will continue to ensure the safety, security and comfort of all air travellers in Nigeria,” the statement said.
Similarly, the Nigeria Civil Aviation Authority (NCAA) in a statement through its spokesman, Michael Achimugu, said it was aware of the detention of Arik’s aircraft due to legal issues and the impact it would have on its flights and prospective passengers.
“While the NCAA continues to monitor the situation and discuss with Arik Air its plans for affected passengers, our consumer protection officers are available at the terminals to monitor the situation and provide information to passengers,” the NCAA said.
It said affected passengers can also visit or email the NCAA Consumer Protection Office. cpd@ncaa.gov.ng
“The NCAA sympathizes with all affected passengers and wishes to assure the protection of their rights as vital stakeholders,” Mr Achimugu said.
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