Asuma Banda Cries Foul

The Chronicle newspaper says it’s Intelligence has picked up disturbing signals that Antrak Air, Alhaji Asuma Banda’s budding airline, which was launched barely two months ago, is already being saddled with obstacles that may eventually ground his over $5 million airline investment.

The brouhaha over the imminent collapse of Antrak Air, which was occasioned by an order from the GCAA limiting the airline to domestic flights and restraining it from operating regional routes, has met with vehement protests from Alhaji Banda. The restraining order by the Director General of GCAA, Capt. Boachie, is viewed against the backdrop that GCAA on November 18, 2002 issued a Commercial Air Carriers License to Antrak Air Gh. Limited, operators of Antrak Air, to operate domestic and sub-regional routes. The License is expected to expire 18 days from today - November 18.

The GCAA has also already issued a Temporary Operating Permit to Antrak Air in respect of the regional and domestic routes via a letter dated September 12, 2003 and signed by Bruce Armah, Acting Director, Safety and Regulations. Experts say the acquisition of the two licenses allows Antrak Air to operate regional and domestic flights. But the letter restricting the airline’s operations to only domestic routes did not explain why such decision was taken. It however admitted that Antrak has a license to fly international routes. The Director General’s September 2, 2003 stop order stated: “The Authority has taken cognisance of your license to undertake both domestic and sub-regional operations. However, the license notwithstanding, the approving authority in line with existing guidelines does not approve of Antrak Air operating the sub-regional routes ab intio.”

“In this connection, you are hereby granted permission to do domestic operations for six months and thereafter reapply for the sub-regional operations,” the letter added.

Capt. Boachie’s September 2 letter came a day after Antrak Air was expected to commence operations of scheduled domestic and regional passenger flights. Even though, on July 25, 2003, Antrak in a letter signed by Alhaji Banda informed the Director General of GCAA and the Director of Flight Safety of the airline’s domestic and regional routes and also the fact that they were set to commence operation on September 1, 2003, the Director General did not reply the letter until a day after the commencement date when he wrote to scrap the regional route from Antrak Air’s operations.

By press time, Antrak could not comment on diplomatic moves, which The Chronicle has become aware, are being made to settle the matter. Chronicle Intelligence confirmed that one of such moves was a petition by Antrak Air dated October 9, 2003 to the Council of State against the GCCA ‘s refusal to allow the airline to operate the regional flights.

This petition, according to our investigations, came after earlier representations made to President John Agyekum Kufuor, the Asantehene, Otumfuo Osei Tutu II, and the Minister for Roads and Transport, Dr. Richard Anane, had yielded no result.

In his petition to the Council of State, which was exclusively obtained by The Chronicle through its sources at the Council, Alhaji Banda noted that the Commercial Carriers License to operate was issued for the scheduled domestic and regional air passenger services after officials of the airline had appeared before the licensing authority and agreed that the operation of a joint domestic and regional flights was necessary for the economic survival of the airline.

The Chronicle has also obtained a copy of the Commercial Carriers License, which confirms Alhaji Banda’s claim.

Alhaji Banda also stated in the petition that Antrak Air reiterated to the licensing authority before the issuance of the license that without the approval to operate both domestic and regional flights, Antrak would have to withdraw its application for the Air Carriers License.

“Based on the issuance of the Air Carrier License to operate domestic and regional air passengers, we proceeded to lease an aircraft from Viaggio Air Bulgaria,” the petition said.

Our investigations further revealed that Antrak Air, on July 25, 2003, wrote to the Director of Flight Safety of GCAA and copied to the Director General requesting for inspection and approval of the aircraft operating license pursuant to the issuance of Operating Permit to facilitate the airline’s operations.

Antrak also informed the GCAA that they had purchased an ATR 42 320, scheduled for delivery in December 2003.

On July 29, 2003, E. F. Akohene, Director of Safety Regulations, responded to Antrak’s letter of July 25, 2003, and stated there was the need for a trip to Bulgaria by the Airworthiness and Operations Inspectors to assess the management set-up, facilities, equipment, manuals and personnel of Viaggio Air, as well as inspect the aircraft and its maintenance records.

“Antrak will be responsible for the two Inspectors return air tickets and hotel accommodation. A fee of $4,400 will be charged for the inspections and this authority at least five days before the departure date of the inspectors from Accra,” Mr. Akohene said.

On August 6, 2003 Mr. Akohene reminded Antrak that the authority had taken note of Antrak’s scheduled route network, which included the regional routes. However, Antrak Air cannot commence operations until the outcome of the necessary inspections has been adjudged successful.”

Following that letter, Antrak Air paid to GCAA $4,400 representing inspection fee and also paid for the cost of flights and accommodation for two GCAA inspectors to Bulgaria. Antrak Air paid a further amount of $2,300 to GCAA for the issuance of the operating permit.

Having fulfilled the above requirement, GCAA, acting through the Acting Director Safety and Regulations, issued a Temporary Operating Permit to Antrak on September 12, 2003 setting the stage for Antrak to commence its domestic and regional operations.

“Based on the satisfactory inspection of organizational set-up, operations and maintenance facilities of Viaggio Air including the ATR 42-300 Aircraft, A Temporary Operating Permit is hereby granted to Air Ghana Limited to operate ATR 42-300 registration LZ-ATR aircraft for a period of three months.

“Bulgarian Civil Aviation Authority shall be responsible for the Safety Oversight Surveillance during the three months operation in Ghana. Ghana Civil Aviation Authority will monitor the operations and maintenance of the aircraft to ensure the airworthiness and safety,” said the letter of approval by the director of safety and regulations.

After GCAA granted the operating license, Antrak Air proceeded to lease the aircraft from Bulgaria with the view of commencing their proposed scheduled domestic and regional flights only to be slapped with the restraining order from GCAA.

According to documentation on the lease, it was based on a monthly minimum utilization of the aircraft at substantial cost for which Antrak’s domestic operations alone cannot cover.

Meanwhile, Antrak is contractually obligated under the lease period and expected to honor its financial agreements as agreed under the lease. Alhaji Banda, in his petition to the Council of State, expressed concern that the problem facing his airline could scare away prospective private investors and militate against the government’s policy of golden age of business.