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National News : Liquidator gets court orders to secure Nigeria Airways' assets

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NATIONAL NEWS


Liquidator gets court orders to secure Nigeria Airways' assets

By IseOluwa Ige
Friday, August 13, 2004

ABUJA — JUSTICE Chikere of the Federal high court, Abuja yesterday granted an ex-parte order to the liquidator of the Nigeria Airways, Babington Ashaye & Co. to use policemen to secure all assets of the airline pending the time the controversy over the modality of taking it up would be resolved.

The order, procured yesterday, was sought by the airline liquidator following the disengagement, on July 29, this year, of all workers of the airline including its security men.

According to a counsel in the chambers of D. D. Dodo (SAN), Mr Usman Israel who argued the ex-parte application yesterday, assets of the liquidated airline were not insured, saying the liquidator ran to court to secure them because it would be to his disadvantage if the assets were tampered with.

Dodo (SAN) is legal adviser to the liquidator, Mr Babington Ashaye and Company Limited who by virtue of his position filed the application for the police protection of the airways’ assets.

Before yesterday, the liquidator had made several futile efforts in the last three weeks to take over the airline premises but met with stiff resistance from the workers.

Mr Usman Israel who moved the exparte application yesterday told Vanguard:  “The workers of the Nigeria Airways seem not to appreciate the good intention of the liquidator of this airline. Before today, the liquidator had gone before a Federal high court in Abuja to obtain an order to pay part of the salaries and pensions of the workers of the airline.

“The order was procured on a day all workers of the Nigeria Airways were disengaged following an agreement between the liquidator and the workers now disengaged.

“But may be they do not know that an order had been secured to see to the part payment of their salaries, and may be they do not know that until the assets of the airline were taken over with part of it paid, it would be difficult to pay the said salaries and pensions, they, in their wisdom disallowed the liquidators from taking over the airline’s premises.”

It would be recalled that the operation of the Nigeria Airways was July 9, 2004, officially wound up on the orders of Justice Jonah Adah of the Federal High Court, Abuja and appointed Mr Babington Ashaye and Company Limited as liquidator.

Nigeria Airways was owing N48 billion domestic debt and US$47 million dollars as foreign debt until the pronouncement of the court which closed it. Besides, its operation was totally paralysed as none of its aircraft was flying. The company was also said to be incurring, on monthly basis, a total sum of N322 million as wage and pension bill before the liquidation.

 

 

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