Less than a week after the Assets Management Corporation of Nigeria, AMCON, took over heavily indebted and badly managed Arik Air, the Odengene Air-Shuttle Services Limited (OAS), has also been taken over by AMCON.
The development comes even as Arik Air has suspended its Lagos-London flights. Arik Air was taken over by AMCON on Thursday last week in an attempt, the government claimed, to rescue the indebted carrier, although some reports alleged that the government was using a ruse to set up a national carrier.
The offices of the OAS Helicopters were sealed off on Tuesday, following a court order allowing the takeover. The company was said to be heavily indebted also but details have remained murky since yesterday.
“POSSESSION TAKEN TODAY 14/2/17 BY AMCON BY COURT ORDER ON SUIT NO. FHC/4CS/1139/2016,” read AMCON seal.
OAS, an indigenous aviation company, was registered at the Corporate Affairs Commission (CAC) on February 4, 1992 and licensed by the Nigeria Civil Aviation Authority (NCAA) to render flight services.
According to the company’s website, the entity’s flight outfit covers two areas of flight activities: rotary and fixed wing.
The rotary wing is operated under OAS Helicopters while the fixed wing is operated as Odengene Air.
The helicopter wing of the company (OAS Helicopters) commenced commercial flight in February 2006.
In the case of Arik Air, it was discovered by the new management appointed by AMCON that the airline was indebted to the tune N300 billion and urgently needed N10 billion to survive. Staff had not been paid for months and only 10 out 28 or 30 aircraft were fit for flight.