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Aircraft belonging to bank grounded

FG moves against defaulting private jet owners

Private jets
Private jets

There are indications that the Federal Government has commenced taking decisive action against Private jet owners who fail to make necessary payments to government.

The Punch reported that the Nigeria Customs Service has grounded a United States-registered Gulfstream G650ER jet belonging to a leading Nigerian bank over unpaid import duty reportedly estimated at N1.9bn.

The development came barely two weeks after the NCS began a one-month verification exercise for private jet owners in the country. The exercise which began on June 19, 2024, is expected to end on July 19, 2024.

The Customs said in a public notice that the exercise aims to identify private jet operators that have illegally imported aircraft into the country without paying the necessary import duties.

The customs recovered about N2bn into the government coffers when a similar exercise was carried out in 2019.

At least 80 private jet owners are expected to present their import documents and aircraft certificate of registration to the Customs in Abuja during the one-month exercise.

Although the grounding of private jets which fail to pay the necessary import duty is expected to begin after the one-month Customs verification exercise, findings showed that moves by some operators to export their aircraft might have forced the NCS to begin the clampdowns on some private jet operators.

The Nigeria Customs Service had last week said some operators of foreign registered private jets were temporarily flying their aircraft out of the country apparently in a bid to evade the exercise.

According to The Punch, the NCS had written the Nigerian Civil Aviation Authority and the Nigerian Airspace Management Agency asking them to cancel the flight clearance approval given to the US-registered Gulfstream G650ER with registration number N331AB and manufacturer’s serial number 6487 belonging to the foremost bank.

The bank is reportedly owing about N1.9bn in unpaid import duties to the government on two formerly owned private jets (Gulfstream G450 and Gulfstream G550 aircraft), which according to sources have since been taken out of the country.

It was also understood that the assessment of N1.9bn was based on a verification exercise carried out by the NCS in 2021.

It was learnt that going by the current exchange rate, the N1.9bn might be raised to about N6bn. Aircraft import duties are computed based on prevailing exchange rate.

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