GACL sets record straight on Terminal 1 license agreement with McDan Aviation

The Management of Ghana Airports Company Limited (GACL) has categorically denied allegations by McDan Aviation Handling Services of unfair treatment and disrespect to the Court over the revocation of its licence at Terminal 1 of Kotoka International Airport.

In a statement issued on March 12, 2026, GACL insisted that it has been the party suffering “exploitation and use of State assets by McDan Aviation without payments for years, which results in loss of revenue to the state.”

The airport authority explained that the agreement with McDan Aviation was formally terminated on January 16, 2026, after several demands for payment dating back to January 2025.

GACL added that it had informed McDan Aviation on January 27 and February 12, 2026, that “any payment made post-termination would be treated as settlement of the substantial debt owed GACL and would not revive the terminated contract.”

GACL terminates Fixed Base Operation agreement with McDan Aviation over indebtedness

GACL mentioned that the company’s partial payment in February 2026 covered only half of the debt owed.

The authority also raised concerns over land use, saying, “McDan Aviation still owes GACL some substantial sums of money including the 16 acres of land which McDan Group occupies with no right of entry and has till date, not paid even a Cedi on the heavily discounted consideration or Principal amount of about $4 million USD for the subleased lands. Yet McDan Group has built on portions of these lands and has rented same out profiting at the expense of GACL.”

Responding to McDan Aviation’s claims of court disrespect, GACL clarified the timeline of events. It explained that the company [McDan Aviation] filed its court processes on March 11, 2026, after GACL had already removed all items from the designated areas at Terminal 1 on March 10.

“The removal of the items from Terminal 1 occurred on March 10, 2026, one clear day before Management was aware of any court processes. The court document was a writ with no injunctive reliefs and a ‘motion on notice’ on the face of it, with no reference to any Order of the rules of court and no reliefs as to restrain GACL from removing the items from the Designated Area, but an order for GACL to reopen the Terminal. The Processes did not include a sealed order of injunction from the Court,” the statement pointed out.

“GACL remains committed to upholding the rule of law and ensuring the orderly management of national assets. GACL has officially responded to the suit filed in Court by McDan Aviation,” it concluded.

Meanwhile, McDan Aviation has threatened legal action against GACL over what it describes as the unlawful termination of its FBO agreement with the airport authority.

MA