Nigerian Air: Ethiopian Airlines admits seeking 15-year tax moratorium

As one of the many incentives to partner with the Federal Government on the botched national carrier project, Nigeria Air, Ethiopian Airlines has admitted to asking the FG for 15 years tax moratorium, among other incentives.

This was contained in the airline’s defence against the suit filed by the Airline Operators of Nigeria at the Federal High Court in Lagos as the second defendant in the case.

The 37-page document with suit number FHC/L/CS/2159/2022 was sworn to by the Country Manager of Ethiopian Airlines in Nigeria, Mr Wondwossen Beyene.

The airline filed the defence on December 19, 2022, less than a month before the commencement of the initial suit instituted by the AON.

In the case, scheduled to come up at the Federal High Court in Lagos on January 16, 2023, Ethiopian Airlines declared that it bid for the purchase of shares in the national carrier, just like other Nigerian shareholders.

The document read in part, “I believe as a fact that the averments contained in paragraph 11B of the affidavit in support of the plaintiff’s originating summons are a distortion of the truth. The second defendant did request tax incentives/concessions for the proposed fledging Nigerian airline, amongst other incentives, which is a normal international practice in international investment negotiations, and not against the law.

“In any case, those requests were proposals and proposed during negotiations with the government and which the Federal Government was at liberty to accept or refuse. The plaintiffs have not shown any proof that the second defendant obtained any tax incentives/concessions for the Federal Government of Nigeria.

-punch news