The Federal Government may move against the assets of Dana Air to refund passengers and travel agents whose funds remain trapped after the suspension of the airline’s operations. The Minister of Aviation and Aerospace Development, Festus Keyamo, said the ministry will direct the Nigeria Civil Aviation Authority (NCAA) to investigate why the airline has not refunded the outstanding tickets and service payments.
Keyamo, who spoke in Abuja during the fourth quarter stakeholder engagement on aviation service delivery, said the government placed safety above commercial considerations when deciding to suspend Dana Air. The event, themed “Leveraging public feedback to drive excellence in aviation services,” brought together operators, regulators, and industry stakeholders to address persistent concerns affecting air travel in Nigeria.
Dana Air had its operations suspended by the NCAA last year following an incident at the Murtala Muhammed International Airport involving its MD-82 aircraft with registration number 5N-BKI. The aircraft experienced a runway excursion, prompting the regulatory agency to carry out both safety and economic audits of the airline. The airline’s Air Operator Certificate (AOC) was suspended from April 24, 2024, at 23:59.
Keyamo said the decision was necessary because continuing operations in the face of damning safety reports would have put Nigerian travellers at serious risk. According to him, the government could not ignore the findings presented by aviation experts and inspectors.
He explained that the suspension became unavoidable after reviewing documents that suggested weak operational standards, safety gaps, and compliance failures. He noted that without decisive action, the situation could have led to a national tragedy.
He said he pushed NCAA officials to prioritise safety, adding that commercial losses could not be considered ahead of human life. “The NCAA decided to suspend them, but I pushed them to say, look, these are the reports we are seeing about safety records, about lack of standards that put the lives of Nigerians at risk. If they continue flying, I don’t know whether most of us will be here. Many of us may have been victims of one of those flights,” he said.
Keyamo added that he has asked the NCAA Director-General, Capt. Chris Najomo, to thoroughly investigate the issue of trapped funds and ensure that both passengers and travel agents get refunded. He said the government will not allow Dana Air or its owners to evade responsibility.
One of the measures being considered is to block the owners of the airline from returning to the aviation sector under any new name or company unless they settle outstanding debts. Keyamo said any attempt to obtain a new Air Operator Certificate or enter any related business will be tied to clearing all liabilities owed to affected passengers.
He also said the government will examine the airline’s available assets, including equipment and revenue streams, to determine what can be used to settle outstanding obligations. According to him, selling some of the airline’s assets or redirecting revenue could help raise the funds needed to compensate Nigerians who lost money.
“We should look at their assets. There are assets that are still available. Let them sell their assets. Let’s cannibalise their revenue and pay people. Let’s go after their assets and get money to pay Nigerians who are owed. NCAA should do that because they can’t get away with it,” he stated.
Meanwhile, the NCAA says it has intensified efforts to improve consumer protection in the aviation sector. Capt. Najomo, represented at the event by the Director of Aviation Security Regulations, Dr. Ben Omogo, said over 9,529 passengers received refunds or compensation between January and September 2025, with additional claims still being reviewed.
He said the NCAA issued 11 enforcement actions and nine sanctions against airlines and aviation businesses for various consumer-protection violations. The agency also processed 515 economic authorisations including Permits for Non-Commercial Flights (PNCF), Air Travel Organisers’ Licences (ATOL), and approvals for travel agents, allied aviation services, and training institutes.
Najomo added that the agency resolved 80 per cent of passenger complaints on the spot, especially cases involving baggage delays and refund issues. He assured that the NCAA will continue to improve regulatory oversight to ensure airlines meet required service standards.
The minister’s comments reflect growing pressure on Nigeria’s aviation regulators to protect consumers, particularly as recurrent flight cancellations, delays, and financial disputes affect public confidence in the sector.