Recall that the National Union of Air Transport Employees (NUATE) had raised the alarm over the alleged mismanagement of Aero Contractors by the Asset Management Corporation of Nigeria (AMCON).

The airline, however, faulted the claim, denying AMCON’s involvement in its operations.

It would be recalled that AMCON formally took over Aero Contractors in 2016, following the dissolution of its management.

NUATE, in a circular signed by its President, Ben Nnabue, warned that the airline’s operations and growth are being undermined.

The union accused AMCON of refusing to provide the necessary funding required to sustain the airline’s operations, a development it said had negatively affected Aero Contractors’ stability in an already challenging aviation environment.

The airline emphasised that it remains under receivership, a standard global practice applied to companies undergoing financial restructuring, and that its operations are being managed professionally in line with established corporate governance frameworks.

Receivership Status Explained

According to the statement, Aero Contractors’ current receivership status reflects a restructuring phase aimed at stabilising the business and ensuring long-term sustainability.

“Globally, companies are placed under receivership as part of structured efforts to restore financial health. This does not diminish the operational integrity of the organisation,” the statement noted.

Leadership and Operational Control

The airline reaffirmed that its day-to-day operations are under the leadership of its Managing Director, Capt. Ado Sanusi, a seasoned aviation professional with extensive industry experience.

The company described Capt. Sanusi as a “thorough-bred professional” who has continued to demonstrate strong leadership in steering the airline through its current phase, maintaining operational efficiency and service delivery.

Clarifying AMCON’s Role

Addressing concerns about external control, Aero Contractors stated that it is inaccurate to suggest that AMCON is directly running the airline.

“It is misleading to claim that AMCON is managing Aero Contractors. Such assertions do not reflect the governance structure in place,” the statement said.

The airline explained that AMCON, as a stakeholder, reserves the right to second personnel to entities where it has financial interest, a practice that is consistent with global restructuring and recovery frameworks.

This approach, the statement added, applies not only to Aero Contractors but also to other entities within AMCON’s portfolio.

Commitment to Stability and Growth

Aero Contractors reiterated its commitment to maintaining operational stability, strengthening service delivery, and advancing its long-term recovery strategy.

The airline also called on stakeholders and the public to rely on verified information and avoid misinformation that could undermine confidence in the aviation sector.

“We remain focused on delivering safe, reliable, and efficient services while progressing steadily through our restructuring process,” the statement concluded.

This partnership highlights Aero Contractors’ commitment to operational excellence and adherence to global safety standards.

Both organizations will work together to foster a proactive safety culture, leveraging data-driven insights to enhance aviation protocols and prevent incidents.

Speaking on the significance of the collaboration, Capt. Ado Sanusi, chief executive officer of Aero Contractors, emphasized,

“At Aero Contractors, safety is not just a regulatory requirement—it is a fundamental responsibility. This partnership with NSIB reinforces our dedication to safety through knowledge-sharing, advanced training, and data-driven decision-making. By working together, we will mitigate risks and improve overall flight safety.”

Similarly, Capt. Alex Badeh Jr., director general of the NSIB, described the partnership as a major step forward in strengthening transportation safety across Nigeria.

In his words he said, 

“This collaboration is a testament to the power of synergy, combining the regulatory and investigative expertise of the NSIB with the technical and operational insight of Aero Contractors. Through this MOU, we are committed to enhancing safety standards by equipping our Transportation Safety Officers with practical, hands-on experience and technical knowledge.”

As part of the agreement, Aero Contractors will provide on-the-job training opportunities for NSIB personnel, focusing on incident prevention, emergency response, and safety management systems.

The NSIB will also support Aero Contractors’ technical personnel with training in accident investigation, ensuring a two-way exchange of expertise that enhances overall safety across the industry.

Capt. Alex Badeh Jr. further outlined the impact of the initiative.

“This partnership will introduce customized training programs, drawing from Aero’s state-of-the-art facilities, simulators, and technical resources. Additionally, we will collaborate on industry conferences, seminars, and symposiums, where best practices will be shared, new training needs will be explored, and capacity-building efforts will be strengthened,” he noted.

The partnership marks a significant milestone in the Nigerian aviation sector, reinforcing a joint commitment to safety, knowledge-sharing, and professional development.

The collaboration aligns with Nigeria’s broader aviation safety objectives and underscores the importance of industry-wide cooperation in building a safer and more resilient air transport system.

Capt. Ado Sanusi of Aero Contractors reaffirmed the importance of the initiative, stating, “This partnership goes beyond training; it is about cultivating a safety-first culture where industry stakeholders collaborate to prevent accidents and enhance operational standards. Today, we embrace a shared vision—one that places safety at the heart of our industry.”

The ceremony, which celebrated loyalty and excellence, featured the presentation of recognition plaques and the disbursement of retirement benefits to the honorees. Among those celebrated were:

• Capt. Gerald Nmoka
• Stephen Kukoyi
• Promise Amadi
• Victor Aitanun
• Nwankwo Stephen N.

The management of the airline expressed profound gratitude to these outstanding individuals, whose dedication and expertise have significantly contributed to the airline’s growth and success over the years.

Speaking at the event, Capt. Ado Sanusi, Aero Contractors’ managing director, underscored the importance of celebrating excellence and fostering a culture of recognition within the organization.

“Our retirees have exemplified the highest standards of professionalism and commitment. Their legacy will continue to inspire our team as we build a brighter future for Aero Contractors,” he stated.

As a leading airline in Nigeria, Aero Contractors remains committed to supporting its employees and creating an environment that values their contributions. This commitment reflects the company’s ongoing efforts to uphold its reputation as a trusted, value driven airline”

In a statement on Wednesday, the Aero Contractors acknowledged with concern the report attributed to National Association of Aircraft Pilots and Engineers (NAAPE) officials, protesting the failure of the company to pay off some of its workers who have been separated from the company for seven years; March 2017.

“Management is indeed disappointed and surprised with the NAAPE that having called for a meeting regarding payment of outstanding benefits to a number of former employees; they decided to go public through the media before the meeting.

“A few clarifications need to be made to put things in context and clarify issues. The company has successfully disbursed redundancy payments to at least 95% of affected staff. Admittedly, we still have outstanding financial commitment to a few affected staff. However, plans are under way to defray these and we have been engaging with affected staff to carry them along in all the company has been doing and going through.

“For the avoidance of doubt out of a total number of 237 staff affected by the redundancy, 225 have been paid off representing 94.94% of those affected.

“Nonetheless, we still have a total of 12 outstanding staff that are yet to be paid. This represents about 5.06% of the original population. Of this number 3 are ATSSSAN members and 9 belong to NAAPE. Efforts are being made in the near future to pay the outstanding to the staff”.

Aero Management said they empathize with the discomfort and strain this experience has put on the affected individuals as well as the whole company.

“We ask for more understanding as we work towards resolving all outstanding issues.

“We believe it is important to situate the whole experience within the operational context that Aero Contractors in particular and the industry in general has had to operate over the period in question.

“The operating environment within the aviation industry has been overwhelmingly challenging, with the company enduring significant challenges including two instances of cessation of operations for extended periods. The first was in August 31, 2016 to late December 2016 and the second was in July 20th, 2022 to December 4th, 2022.

“After about a 5 months shut down we have assiduously worked on defraying outstanding payments and commitments, not only to affected personnel but to ensure the viability of operations and to continue as a going concern.

“This is in spite of additional challenges posed by escalating cost of operations, particularly the substantial cost the fuel component of our operational costs which has severely constrained our finances and affecting allocations to various expense headings, including terminal benefits owed to former employees.

“Be that as it may, as the figures show, management has been relentless in ensuring a vast majority of affected persons are settled. We assure you that Aero Contractors remains committed to fulfilling its obligations to all stakeholders. We continue to actively work to resolve all outstanding issues and ensure that affected individuals receive their rightful entitlements.

“Since the return of the company in December 2022 to operations, we have ensured a call back of all employees and reintegrated them to be in a position to contribute to building the organisation they love back to the stature for which it has always been known.

“It is an onerous task that we (former and current staff), owe the company and the heritage we have laboured for over the years. We shall succeed.

“We appreciate your understanding. Our commitment to operating with integrity and accountability remains unwavering, and Aero Contractors remains steadfast in its dedication to the well-being of its employees, past and present”, the statement reads.

The airline also on Tuesday, recommenced scheduled services to the Margaret Ekpo International Airport, Calabar from its base at the Murtala Muhammed Airport Two (MMA2), Lagos.

This is as Sen. Bassey Otu, the Governor of Cross River State has promised to increase the state’s aircraft fleet from the present two to five in the coming months.

Speaking at the relaunch of of the route, Capt. Ado Sanusi, the Chief Executive Officer (CEO), Aero Contractors said that for the first time, the joint venture between the airline and the Cross River government has brought all the two Boeing 737 aircraft owned by the state to service.

Sanusi described the feat as a major boost to the airline’s fleet and a demonstration to the quality and professional competence of its Maintenance Repair and Overhaul (MRO) facilities.

He said:

“We are proud of them for putting additional aircraft to service, while working on the fifth aircraft to be back in service by the end of next month.

“We are equally pleased with the full support of the Cross River State government especially, His Excellency the Governor, Bassey Otu on this joint venture, which we believe will continue to grow and enhance the governor’s vision of growing the economy through tourism among others.

“With our increased fleet, we are delighted to be in the position to fully support the upcoming Calabar Carnival themed: ‘Season of Sweetness,’ this festive season, and we promise our customers competitive fares.”

Sanusi also said that the airline would operate three daily frequencies from Lagos to Calabar. While the aircraft would also be deployed to Abuja airport and back to Calabar before returning to Lagos.

Besides, he explained that the airline intended to increase the frequencies as demands grow, assuring that the airline would always offer quality services to its customers throughout the festive season.

Also speaking at the event, Sen. Bassey Otu, the Cross River State Governor, lauded the management of Aero Contractors for maintaining the state’s aircraft in its fleet and for relaunching scheduled services to the airport.

According to the governor, the state’s aircraft would increase to five very soon with the addition of three more aircraft.

He explained that the State Government was determined to position the state as a tourism destination and would attract air passengers into it.

Otu further commended Sen. Ben Ayade, the immediate past Governor of the state for initiating the idea of an airline and putting the state on the aviation map.

He also pointed out that plans were on to make the airport a 24 hour aerodrome as the airfield lightings are being installed by the Federal Airports Authority of Nigeria (FAAN).

He added: “Calabar has been an international airport and we want to raise it to that standard. Flights will very soon be landing at this airport till 9pm. The government is installing the light and they are bringing the airport into total functionality so that it will be an international airport truly.

“Before now, it was a bit difficult coming into the state because of the state of the roads, but as from today henceforth, we can fly in here at anytime.

“By the time the Calabar Carnival is on, the traffic to this airport will surge. We want to make aviation a very big business for Cross River State.”

The aircraft, a Boeing 737-300 with the registration number: 5N- BYR, which departed Lagos at 10:30am, landed at Margaret Ekpo International Airport at 11: 25am with fanfare.

The governor and his executive cabinet members and other dignitaries from the state were on ground to receive the aircraft to the airport.

According to a statement by the airline available to Techeconomy, all passengers were safely evacuated through a controlled disembarkation.

Flight NG 119 with a registered Boeing 737 aircraft 5N-BYQ from Lagos to Abuja had a total of 133 passengers on board.

Capt. Ado Sanusi, The Managing Director of Aero Contractors, said: “We apologise for the inconveniences caused to our customers and other airport users. Our team with the assistance of the airport management have already towed the aircraft from the taxiway.

“We are equally cooperating with the Nigeria Civil Aviation Authority (NCAA) and the National Safety Investigation Bureau (NSIB) as they carry out their investigations.

“Our mantra in Aero Contractors is safety, and our long history is a testimony to this.”

Capt. Sanusi was reassigned by AMCON in 2020 to manage the Nigerian Eagle (NGE) carrier as part of the exit strategy of AMCON from Arik Air, while Capt. Abdullahi Mahmood was seconded from Arik Air to manage Aero Contractors in 2021.

Unfortunately due to the lingering issue connected with securing the Airline Operator Certificate (AOC) of NG Eagle and the failure of the airline to take off, AMCON has decided to reassign Capt. Sanusi back to Aero.

Aero contractors has been in Receivership under AMCON since 2016, and is undergoing restructuring with expectation of returning to schedule services in the very near future.

Capt. Sanusi said: “I am pleased to return to Aero Contractors to continue the job of repositioning the airline. I thank Capt. Mahmood for the wonderful job he has done in holding the fort.

“A lot needs to be done to make the airline stronger to be able to face future challenges. I look forward to the support of the staff and management of the airline including other stakeholders to make the airline great once again.”

Barely a week ago, Aero Contractors, Nigeria’s oldest airline, suspended its flight services. READ HERE.

So, in response to the newspaper report, the said:

“Contrary to the news published by Daily Independent Newspaper on Monday July 25, 2022, Aero Contractors, and the Asset Management Corporation of Nigeria (AMCON), is totally unaware of the diversion of any $3million belonging to both or either organisation meant for the acquisition of a Bombardier aircraft for Aero Contractors Limited, talk less of a refund by Bombardier, a reputable aircraft manufacturer still in existence.

“In the said Daily Independent publication, one Femi Adeniji who claimed to be an Engineer and CEO of NIGAME Aircraft Consultancy Incorporation in faraway Florida, United States of America made the spurious claim in an interview with the newspaper.

“The allegations he spewed in the interview is one of those desperate but futile efforts to malign Aero Contractors and AMCON that is saddled with the difficult national assignment of recovering debts from stubborn, and recalcitrant obligors.

“Reading deeper into the story however, it is obvious that the so-called Engineer Femi Adeniji is out for vengeance having owned up in the same Daily Independent story that he and his partners had approached AMCON sometime in 2018 with a proposal to manage the airline but did not get the business.

“This approach of trying to get back at AMCON for not getting a business is rather unfortunate, and unprofessional to say the least.

“The public should therefore disregard this deceptive news item, the basis of which is totally unknown to us, which is entirely created from the imagination of Adeniji but mischievously scripted by Daily Independent reporter to give Aero Contractors and AMCON a bad name as well as mislead the reading public”.

The noticed was served on Monday by the management of the airline blaming ‘the impact of the challenging operating environment’.

Recall that the airline and aviation unions had in May this year traded words over planned shutdown of operations.

The unions at a press conference in Lagos on Monday May 16 2022, under the umbrella of Air Transport Employees (NUATE) and the Air Transport Senior Staff Services Association of Nigeria (ATSSSAN) also accused the management of the airline of planning to cut down its staff strength by 40 per cent without first negotiating terms of redundancy despite its inability to complete redundancy payment of those it asked to stay home since 2016.

But in a response, Aero Contractors described the unions’ position as ‘wild and unfounded allegations against it in running the affairs of the airline’.

Fast-forward to today, Monday July 18, the management said that due to the impact of the challenging operating environment on daily operations of Aero Contractors Company of Nig. Ltd., the airline will temporary suspend its scheduled passenger services operations with effect from Wednesday, July 20, 2022.

“This does not in any way affect the Maintenance activities of the Approved Maintenance Organisation (AMO) otherwise known as AeroMRO, the Approved Training Organisation (ATO) also known as Aero Training School, the Helicopter and Charter Services operations.

“This decision was carefully considered and taken due to the fact that most of our aircrafts are currently undergoing Maintenance, resulting in our inability to offer a seamless and efficient service to our esteemed customers. We are working to bring these aircrafts back to service in the next few weeks, so we can continue to offer our passengers the safe, efficient, and reliable services that Aero Contractors is known for, which is the hallmark of Aero Contractors Company of Nig. Ltd.

“The past few months have been very challenging for the Aviation industry and the airline operators in particular. With the  high cost of maintenance, skyrocketing fuel prices, inflation, and forex scarcity resulting in high foreign exchange rates. These are amongst the major components of airline operations.

“In the meantime, we are working assiduously to return to service as quickly as possible, and do assure our esteemed customers and stakeholders of our determination, that our short absence will not create any major void in the market, as we are coordinating with our business partners to ensure minimum discomfort to ticket holders.

“As members of Spring Alliance (a commercial alliance with member airlines providing mutual support in the area of operations), we are liaising with our partner airlines to minimise the impact on our esteemed customers. Our customer service team will be working to help affected esteemed customers reach their destinations.

“We sincerely apologise for any inconvenience caused to our esteemed customers and promise to return to service as soon as possible.

“We thank you in advance for your cooperation and understanding at this time”, the statement reads.