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Why Senate demands fresh bailout for aviation —Ndume

August 18, 2015 : Sunday Aborisade 10 Comments

   

 

Senator Ali Ndume

Senate Leader, Senator Ali Ndume, on Monday, explained why his colleagues in the upper chamber were pushing for fresh bailout for the domestic airlines operators in the country despite the fact that the previous one granted to them by the last administration was allegedly mismanaged.

There have been public outcries against the move since stakeholders in the sector started canvassing fresh bailout recently, because of the alleged mismanagement of funds made available to the operators between 2009 and 2012.

But Ndume, in an interview with our correspondent in Abuja, explained that the Senate was worried that there was an impending crisis in the aviation sector at the moment especially when the operators were already demanding an urgent Federal Government’s assistance.

He said that the Senate could not insist that the beneficiaries of the multibillion-dollar bailout granted by the last administration must refund them first before the serious-minded people genuinely running the business could be supported.

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The Senate Leader maintained that the Senate President, Bukola Saraki, decided to set up an ad hoc committee on aviation last week, in order to carry out an overview of the current situation in the sub-sector with a view to recommending measures to avert possible crisis in the nearest future.

Ndume said, “The last administration used part of the money meant for the aviation sector to kick-start the industry.

“Unfortunately the money was used more to dispense patronage to individuals, companies or airlines that are not true operators but mere outlets to reach out to such funds.

“Although, funds like that may have records, but we cannot just close our eyes and say we want to get the money first before we revive the industry.

“The Senate ad hoc committee is saddled with the responsibility of getting the money and ensuring that it is used for the purpose for which it was meant.

“We are aware that it will take time to get the money from those who collected but failed to utilise it for the purpose it was meant.

“However, we are convinced that if serious-minded people are identified now and are given money to carry on with their business, they will utilise the funds well, thus guaranteeing safety in the sector”

It will be recalled that, the Senate last Thursday, constituted an ad hoc committee headed by Senator Rabiu Kwankwaso, to carry out an holistic appraisal of the aviation sector with a view to coming up with pragmatic strategies to reposition the industry.