Airport revenue defaulters face sanction

Airport revenue defaulters face sanction

The Federal
Airports Authority of Nigeria yesterday unveiled its new revenue
collection policy targeted at ensuring the quick remittance of all
income due to the agency.

This is coming
because concessionaires, airlines, aviation ground handling companies,
and others regularly neglect to remit accrued charges to the authority
as at when due.

Richard
Aisuebeogun, managing director of the authority, said at a forum at the
Murtala Muhammed International Airport (MMIA), Lagos, that the credit
control system will ensure accountability and objectivity in all
financial transactions between the authority and its customers.

“There have been
situations in which disputes arose between FAAN and some of its
customers over reconciliation of accounts or interpretation of terms of
agreement,” Mr. Aisuebeogun said.

“It was either that
the customer was claiming that the authority had given a higher bill
than he deserved or that the authority was claiming that the customer
under-paid or breached the terms of agreement,” he added.

Mr. Aisuebeogun
spoke of occasions when debts were made to accumulate over a long
period, some stretching for years because debtors refused to pay their
bills on account of the former mode of payment.

“Besides, most of
the transactions that the authority still operates with some of our
customers were entered into many years ago, with conditions that are no
longer feasible or viable in today’s economic reality,” he said.

N18 billion debt

Condemning the
laxity in remitting charges exhibited by clients of the authority,
Azuka Onyia, the new finance and accounts director of FAAN, said that
the authority was owed N18 billion by its customers as at may 2010.

“I know that it is
beyond that now; and they know that the way businesses strive to
survive is the same way FAAN strive to survive,” Mrs. Onyia said.

She reiterated that
perennial debtors to the authority will have to pay accrued interest,
adding that series of complains over the decaying state of the airport
warrant immediate financial attention.

“You can’t owe us
N1 million since 2004 and come to pay same N1 million in 2010,” she
said. “You all know that there has been series of articles in
newspapers condemning the authority, and since you will not allow
anybody to owe you, FAAN will not allow any of you to owe any longer.”
The finance director, however, said that clients are advised to meet
with the authority to negotiate whatever term they find unclear in the
manual.

“There is nothing
in the credit manual that does not give FAAN basis to understand with
her customers, for it is not necessary for us to start dragging one
another to Abuja or to court,” she said. “It is in their best interest
that our customers enter into agreement with us for both parties to
negotiate.” Mrs.

Onyia outlined
penalties against defaulters highlighted in the new manual to include
complete denial of access to the authority’s facilities, and litigation
where all possibilities of amicable resolutions have been exhausted.

Click to Read more Financial Stories

Leave a Reply

Your email address will not be published. Required fields are marked *