FAAN terminates lease agreement with Bi-Courtney

Federal Airports Authority of Nigeria (FAAN) has terminated two leases granted Bi-Courtney Aviation Services Limited (BASL) at the Murtala Muhammed Airport (MMA), Lagos, for the development and management of a four-star hotel and conference centre.

But the firm said it has secured a court injunction restraining FAAN, Attorney General of the Federation and other defendants from taking over or interfering with the projects.

General Manager, Corporate Communications of FAAN, Yakubu Dati, disclosed this to journalists in an online statement on Tuesday.

He said FAAN in two separate letters, dated April 19, 2012, had informed BASL that the leases granted it in respect of the two projects had been terminated as a result of breaches committed by the company in the agreements it signed with FAAN on the two projects.

According to him, the agreements on the two projects were to be completed in 2008 but that “FAAN graciously extended the construction period to July, 2009,” adding that despite that BASL still failed to complete the projects at the expiration of the extended period.

FAAN added that by the termination order, the premises, in respect of the two projects, have reverted to FAAN automatically, in line with the terms of the agreements.

The agency further recalled that, “BASL forcefully and illegally acquired part of the premises belonging to the Murtala Muhammed Airport School, Ikeja, to construct the conference centre, despite protests by the pupils and parents of the school.”

It added that it was the protests that stopped the company from acquiring the entire premises of the school, which Bi-Courtney had planned to take to another location in Lagos.

But in a swift reaction to FAAN’s statement, spokesman of BASL, Steve Omolale-Ajulo, said, “Justice S.J. Adah of the Federal High Court, Ikeja Division, had, on April 23, 2012 issued an order restraining the Attorney-General of the Federation, Inspector-General of Police, Managing Director of FAAN and FAAN, who are all defendants from commencing, continuing and/or completing any actions or permitting the commencement, continuance and/or completion of any actions in respect of taking over possession of and/or interfering with applicant’s possession of the four-star hotel and the conference centre situate at the Murtala Muhammed Airport Terminal Two (MMA2), Lagos, under construction.”

BASL added that the court order, originating motion, affidavit in support, exhibits and the notice of arbitration were all served on FAAN and its managing director and received and signed for, on their behalf, by one Mrs. C. Akinola at 11.55 a.m. on April 24, 2012.

According to Omolale-Ajulo, “So, for FAAN to say it has terminated the projects and taken possession of the land is laughable and a clear disobedience of subsisting court orders.

“Nigerians should please ignore them, as they are not saying anything new,” he added.

One Comment

1. 

   Sle̶̲̥̅̊e̶̲̥̅̊k

   March 20, 2013 at 8:39 pm

   The greed called capitalism. Unregulated capitalism is a sin b4 man & God.