Monday, March 9, 2009

Airports Authority Grounds Airlines

Fresh off the heels of a threatened strike by engineers a few weeks ago, the Federal Airports Authority of Nigeria (FAAN) refused to allow certain airlines to depart from the country's airports until they paid their debts, totaling 8 billion Nigerian dollars, to the agency. An ultimatum was issued to the indebted airlines, which included Arik Air, Virgin Nigeria, and IRS airlines, on Friday, but the airlines apparently chose to wait until after the deadline to see what the FAAN would do. So when the agency made good of its threat and suspended flights, hundreds of unsuspecting passengers were stranded in airports until the airlines paid the debt later that afternoon.



This article demostrates the uncertainty of government legitimacy in Nigeria. The fact that the airlines were readily able to pay off their debts but waited to see what the FAAN would do shows that the companies did not expect the government to be true to its word. It also shows the corruption inherent in Nigeria's business world as the airlines stranded hundreds of people in taking a chance to avoid paying a debt.

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