The Director General, DG, of the Nigerian Civil Aviation Authority, NCAA, Captain Chris Najomo has accused airline operators of shortchanging the government.
He said this while raising the alarm over the rising cases of fraudulent activities in the aviation industry in Nigeria.
He said the operators were manipulating the system, thereby defrauding the government.
Najomo highlighted under-reporting of revenues, manipulating ticketing systems or diverting funds as key areas of the fraud committed by the operators.
He noted that such directly affects aviation safety, economic regulation and investor confidence.
The DG, who noted this when he led a delegation of his management team on a courtesy visit to the Executive Chairman of the Economic and Financial Crimes Commission, EFCC, Mr. Ola Olukoyede in his office, urged the Commission to intervene to address the issue.
Najomo identified high-value transactions such as aircraft purchases, leasing arrangements, foreign maintenance contracts and procurement of safety infrastructures as areas vulnerable to fraud, as well as money laundering.
He raised concerns over the non-remittance of the mandatory five percent Ticket Sales Charge (TSC) and Cargo Sales Charge (CSC) by some commercial airlines, stating that such non-compliance occasions shortfalls in NCAA’s internally generated revenue needed for adequate safety oversight
He also pointed to NCAA’s battles against illegal charter operations, disguised as private flights, which he said, often involved unregulated financial flows, noting that EFCC’s financial intelligence capabilities were needful in unmasking such fraudulent activities.
"Non-remittance weakens NCAA’s ability to fund safety oversight and operational efficiency and may require EFCC’s intervention to investigate cases where deliberate withholding, diversion or misappropriation of these funds is suspected.
“Some operators deliberately under-report revenues, manipulate ticketing systems or divert funds, thereby sabotaging the NCAA's ability to regulate effectively. In such cases, EFCC’s intervention is necessary," he stated.
