The management at Nigeria Airways is fighting to keep control over the carrier as a government review is set to issue proposals for the future course of the carrier, which could include a revival of the Air Nigeria concept.
The government consultative document is expected to propose three options for the carrier. Sources indicate that one part of the white paper focuses on absolving former managing director Capt Mohammed Joji from allegations that he misappropriated over $11.5 million of the carrier's funds.
Although seemingly irrelevant to the strategic direction of the flag carrier, the move is seen as an attempt to revive the plans for Air Nigeria. Joji enjoys considerable political support and clearing his name could allow him to oversee a project first proposed under his management two years ago. The venture in its original form would have taken over most of flag carrier's international route authorities.
The position of the current chief executive Andrew Agom is already under some pressure following the grounding of the carrier's international fleet in January: he was almost sacked but was saved by his powerful political connections. He favours another recommendation likely to emerge from the white paper - restructuring of the carrier in its present form. He was set to start staff cutbacks of 50 per cent in February and wants a $60 million state injection to turn the carrier around. 'With that money I'll get the B737s and A310s back into operation.'
The final proposal is expected to recommend leasing the carrier out over a 10-year term, but a powerful lobby looks set to oppose this on national security grounds.
The final proposal is expected to recommend leasing the carrier out over a 10-year term, but a powerful lobby looks set to oppose this on national security grounds.
Source: Airline Business
