Five key things to know about McDan Aviation’s suspension by GACL

Private Jet Loungeas McDan Aviation inaugurated its private jet terminal on January 28, 2022

Wed, 2 Feb 2022 Source: www.ghanaweb.com

GACL suspends McDan Aviation operations at KIA

McDan Aviation inaugurates first private jet terminal services

Parliament summons transport minister over GACL, McDan impasse

After holding an inauguration to launch the first private jet terminal services in the country, the Ghana Airport Company Limited has directed McDan Aviation to suspend its operations at the Kotoka International Airport.

Although there seem to be some unresolved issues with regards to McDan Aviation operations, Parliament has also summoned the transport minister [Kwaku Ofori Asiamah] to brief the House on the matter.

The GACL in a letter referenced a notice to McDan Aviation to suspend the inauguration of the private jet terminal last Friday, January 28 which they say was not adhered to.

Managing Director of GACL, Yaw Kwakwa said, “We note with concern your failure to comply with the directive despite the outstanding issues on the prior terms and conditions for the use and operations of Terminal 1 as a Private Jet Terminal.”

“Management has consequently directed the suspension of your use of Terminal 1 until further notice,” the GACL boss noted.

The letter also requested the CEO of McDan Aviation, Dr Daniel McKorley “to relinquish the keys to enable Management to undertake a Joint Inventory by close of business day, Monday, January 31, 2022.”

In response to the directive on Tuesday, McDan Aviation confirmed that it had suspended the private jet operations and requested audience with GACL on the way forward over the impasse.

“We are writing to officially inform you about our decision to suspend our operations at the Fixed-Base Operator (FBO) Terminal with immediate effect. This has become necessary to pave way for u to thoroughly engage your outfit and all key stakeholders on the way forward. "

“We write to officially arrange for the engagement. While at that, we will also appreciate your guidance on what will be the most appropriate step to take,” a statement signed by Executive Chairman of McDan Aviation, Dr. Daniel McKorley read.

With a meeting set to take place, GhanaWeb in this article takes a look at some five things to know about the indefinite suspension of operations for McDan Aviation.

Here are five things to note surrounding McDan Aviation's closure

1. In 2019, government through Ghana Airport Company Limited (GACL) rented out the ground floor of Terminal 1 of KIA to McDan Aviation for 15 years to operate a Fixed Base Operator (FBO).

2. According to the GACL, although McDan Aviation had satisfied all operational requirements, the company was yet to honour its financial obligations to the regulator. The GACL in a letter said, “McDan owes GACL a total of US$4,505,034 and GH¢227,293 respectively.”

3. McDan Aviation has so far paid GH¢1,000,000 on January 19, 2022, as part of negotiating a payment plan for the financial obligations.

4. McDan Aviation is yet to agree on a Fixed Base Operator (Private Jet Terminal Operator) license fee with GACL.

5. Madam Oboshie Sai-Cofie was the Board Chairperson of GACL at the time of the agreement.

Source: www.ghanaweb.com
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