McDan Aviation Disputes $3 Million Debt Claim After Terminal Shutdown

KEY POINTS

• McDan denies owing $3 million, says debt is significantly lower.
• Legal dispute delays payments tied to land acquisition.
• Company commits to resolving debt through ongoing dialogue.

McDan Aviation, the private jet operator at Ghana’s Kotoka International Airport, is pushing back against claims that it owes $3 million to the Ghana Airports Company Limited (GACL).

Following the shutdown of its Terminal 1 operations by the GACL over unpaid debts, the company insists the reported figure is exaggerated and says it is actively working to settle its obligations.

McDan denies owing $3 million to GACL

In a statement issued on Monday, McDan Aviation CEO Kwaku Ampronfi refuted media reports that the company’s debt amounted to $3 million.

“We do not owe $3 million as has been erroneously reported,” Ampronfi stated. The company clarified that it made a payment last week and is scheduled to resume further payments in January 2025.

This is the second time the GACL has taken action against McDan Aviation over its financial obligations for the use of Terminal 1, which was allocated to the company in 2021 for Fixed Base Operator (FBO) services.

Land dispute complicates financial obligations

In addition to the terminal debt, McDan Aviation addressed an ongoing legal issue involving a parcel of land acquired from the GACL. According to the company, third-party litigation over the property has delayed payments tied to the land transaction.

“Payments related to the land remain on hold due to the ongoing court case,” the company explained, emphasizing that this matter is separate from the Terminal 1 operations.

According to Graphic Online, the land dispute adds another layer of complexity to the financial disagreements between McDan and the GACL, but the company reiterated its commitment to resolving all issues.

Commitment to dialogue and resolution

Despite the terminal’s closure, McDan Aviation called the GACL’s decision “regrettable” and maintained that discussions regarding its financial obligations were already underway.

“We are committed to resolving the issue through constructive dialogue,” the statement read, noting that the terminal shutdown was unwarranted given the company’s ongoing efforts to settle its debt.

Terminal 1, once used for domestic flights, became an exclusive hub for McDan Aviation’s private jet services after the opening of Terminal 3 shifted international operations.

As discussions continue, McDan Aviation emphasized the importance of collaboration with the GACL to resolve disputes and maintain operations. “Together, we can address these issues and ensure seamless services for our clients,” the company said.