Arik Air Limited has filed a N20 billion suit against the Federal Government and Ethiopian Airlines over recent claims in the media that they were negotiating the takeover of the airline.

The suit was instituted by the airline at the Federal High Court, Lagos against Ethiopian Airlines, the Federal Ministry of Transportation and the Attorney General of the Federation.

A copy of the suit which was filed on Sept.6 by Arik Air’s counsel, Mr Babajide Koku (SAN), Mr Chukwuemeka Nwigwe and Mrs Ezinne Emedom, was obtained by the News Agency of Nigeria (NAN) on Sunday in Lagos.

In its statement of claim supported by a 20 paragraph affidavit deposed to by Mr Chris Ndulue, a Director with Arik Air, the plaintiff asked the court to restrain the first and second defendants from further negotiations on its takeover.

The plaintiff noted that the Asset Management Company of Nigeria (AMCON) had taken over the airline on Feb. 8 which was challenged by its management via two suits already pending before the Federal High Court, Lagos.

According to the plaintiff, the suits numbers are FHC/L/CS/827/17 and FHC/L/CS/826/17, adding that the negotiations by the defendants will render the outcome of the suits nurgatory.

“The plaintiff avers that the agreement of the second defendant with the first defendant will be wide ranging and intricately affect every aspect of the plaintiff herein, including but not limited to the day to day running technical as well as financial management which will affect the plaintiff as being the largest domestic and regional airline in Nigeria.

“The plaintiff further avers that the action taken by the first and second defendants will have a negative effect on the country’s image as the plaintiff being the largest airline will be pawned over to another country for management,” it said.

The plaintiff also averred that the negotiations had caused undue hardship and irreparable damage to the Arik Air brand and ongoing investment discussions as well as unbearable distress to the airline’s shareholders and directors.

It, therefore, asked the court to declare the negotiations null and void because the Ministry of Transportation had no power to transfer the management of the airline to Ethiopian Airlines while the suits over the takeover are pending.

The plaintiff also asked the court for an order directing the Attorney General of the Federation to ensure the investigation of Ethiopian Airlines by the appropriate authorities for inducing and interfering in the administration of justice in the pending suits.

It added that if found culpable, the airline should be charged to court for criminal contempt contrary to Section 133 (4) and (9) of the Criminal Code Laws of Lagos State, Cap C17,Laws of Lagos State of Nigeria, 2004.

The plaintiff also asked the court for an order compelling the Inspector General of Police to investigate the actions of the second defendant.

It further asked the court for N20 billion being punitive damages against the first defendant for inducing or partaking in the interference of the rights of the plaintiff and the administration of justice. NAN reports that the suit is yet to be assigned to any judge and no date has been fixed for hearing.

Source: https://m.guardian.ng/business-services/aviation-business/takeover-negotiations-arik-air-files-n20bn-suit-against-fg-ethiopian-airlines/

Front Page: Lalasticlala Mynd44

Confusionist government my head spinning keeping up with this story. AMCON denied negotiations with Ethiopia Arlines if you can believe that. The left hand doesn't know what right hand is doing half the time it seems. Nawa for Ethiopian airlines you try to go through right channels just get end up in lawsuit.

All educated people in Nigeria cannot manage common airline company. The fact remains that error and poor management contributed to the negotiation of takeover or related rumours.

Airik is that one a name? Useless people

emi14:
The fact remains that error and poor management contributed to the negotiation of takeover or related rumours.

I think Ethiopian airlines thought it was more than a rumor. They talking to ministry of transport allegedly. The only big question is how could AMCON and Ministry of Transport not talk this over before any supposed negotiations.

It, therefore, asked the court to declare the negotiations null and void because the Ministry of Transportation had no power to transfer the management of the airline to Ethiopian Airlines while the suits over the takeover are pending.

Front page: Lalasticla

Blue3k:


I think Ethiopian airlines thought it was more than a rumor. They talking to ministry of transport allegedly. The only big question is how could AMCON and Ministry of Transport not talk this over before any supposed negotiations.



Front page: Lalasticla

Because we have presidency instead of president. Nobody is in charge

And this is why the govt should never have nationalized them in the first place?

davidif:
And this is why the govt should never have nationalized then in the first place?

They should have just let these guys fail. Arik Airways is suing AMCON on multiple fronts.

The plaintiff noted that the Asset Management Company of Nigeria (AMCON) had taken over the airline on Feb. 8 which was challenged by its management via two suits already pending before the Federal High Court, Lagos.