Arik Air, which was recently taken over by the Assets
Management Corporation of Nigeria (AMCON) following huge indebtedness, has been
suspended from the International Air Transport Association (IATA) Billing and
Settlement System (BSP).
However, IATA said the airline is still a member of
the global body which is the clearing house for over 250 airlines.
IATA Area Manager, South West Africa, Dr, Samson
Fatokun, said yesterday that the organisation is working with the new
management of Arik to resolve the development.
BSP was designed to facilitate the selling, reporting
and remitting procedures of IATA Accredited Passenger Sales Agents, as well as
improve financial control and cash flow for BSP airlines.
There are BSP operations in some 181 countries and
territories. The system currently serves approximately 400 participating
airlines with an on-time settlement rate of 99.99 per cent. In 2015, IATA’s BSP
processed $230.3 billion.
Fatoki said, “IATA is currently working with the new
management of Arik Air to resolve the airline’s suspension from the IATA
Billing and Settlement Plan (BSP) and Cargo Account Settlement System (CASS).
“The airline’s suspension from the IATA financial
systems does not affect its IATA membership or IOSA registered status. Arik Air
remains a member of IATA and a fully IATA Operational Safety Audit (IOSA)
registered airline.”
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