The Nigerian government has filed criminal charges against Ahmed Kuru, a former Managing Director of the Asset Management Corporation of Nigeria (AMCON), alongside Union Bank Plc, Kamilu Alaba Omokide (Receiver Manager of Arik Air in Receivership), Captain Roy Ilegbodu (CEO of Arik Air in Receivership), and Super Bravo Limited. The charges pertain to the alleged mismanagement of Arik Air Limited, with the accused facing allegations involving a ₦130 billion fraud.
The charges, spanning six counts, were filed by the Economic and Financial Crimes Commission (EFCC) on October 30, 2024, at the Lagos State High Court following an investigation lasting over a year.
Details of the Charges
- Union Bank Plc was accused of providing false information to AMCON regarding Arik Air Limited’s loans, leading to a purportedly unwarranted transfer of ₦71 billion to AMCON. This act allegedly violated Section 96 of the Criminal Law of Lagos State 2015.
- Ahmed Kuru, Kamilu Omokide, and Captain Roy Ilegbodu were charged with fraudulently converting ₦4.9 billion belonging to Arik Air Limited for the benefit of NG Eagle Limited, contravening Section 278(1)(a) of the Lagos Criminal Law.
- Captain Roy Ilegbodu was also accused of stealing ₦22.5 million from Arik Air Limited by diverting the sum to a third party, Magashi Ali Mohammed.
- Ahmed Kuru and Kamilu Omokide were accused of abusing their offices by setting up NG Eagle Limited to gain undue advantages for themselves and associates.
- The pair, alongside Captain Ilegbodu, allegedly authorized the destruction of a Boeing 737 aircraft valued at $31.5 million, harming Nigeria’s economic stability and contravening Section 73 of the Lagos Criminal Law.
- Lastly, Omokide, Kuru, and Super Bravo Limited were accused of dishonestly converting three Boeing aircraft—property of Arik Air—to Super Bravo Limited’s benefit.
The court scheduled their arraignment at the Lagos High Court’s Special Offences section in Ikeja.
Arik Air: From Success to Controversy
Arik Air began operations on October 30, 2016, with brand-new aircraft on domestic routes. By 2015, it had expanded to international destinations, including London Heathrow and New York’s JFK Airport. At its peak, Arik operated a fleet of 24 aircraft, comprising Boeing 737NGs and Bombardier models, alongside a spare parts inventory worth $250 million.
A 2013 valuation by Deloitte of London and the International Bureau of Aviation placed Arik’s worth at $3.7 billion. However, in February 2017, the airline entered receivership under AMCON following an ex parte court order.
Under the receivership management (2018–2023), operations declined sharply, with most domestic and international routes shut down. From its initial fleet of 24 aircraft, only three (two Boeing 737NGs and one Q400) remain operational today. Many planes have been grounded due to maintenance challenges, with two reportedly dismantled and sold, while another was seized abroad.
Despite legal requirements, AMCON’s management has failed to file audited financial reports for Arik Air since March 2023, as mandated by the Federal High Court. This prompted a petition by Arik’s shareholders, leading to the EFCC’s investigation into the management practices.
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