The umbrella body of ground handling businesses in Nigeria, the Aviation Ground Handlers Association of Nigeria (AGHAN) has halted ground handling services to Max Air over debt.
The measure, which became effective today, has effectively stopped the airline’s domestic operations nationally and is the first major enforcement action by the organization against defaulting carriers, The Guardian writes.
Mr. Olaniyi Adigun, Chairman of AGHAN, said the decision became necessary since Max Air failed to engage the handling businesses over the reconciliation and settlement of its outstanding obligation.
Max Air, he said, has not responded favourably to repeated efforts to resolve the situation. Several other airlines owing the ground handling services are in talks with the firms and reconciling their accounts, Adigun said.
He said the association could no longer shoulder the financial burden due to long non-payment by the airline for services performed.
“We took decisive action on Max Air today (Thursday) because the airline refused to negotiate with us,” he said. While the other debtor airlines are in talks with us, Max Air has refused to talk to the handling firms.
“Other debtor airlines are on the verge of signing MoUs with our members on debt repayment. This should send a signal to the other airlines that the ground handling companies can’t supply services if they are not being paid.
But Adigun said the fines will not impact the airline’s ongoing hajj operations, as the handling expenses for the pilgrimage flights are paid directly by the National Hajj Commission of Nigeria (NAHCON).
Our correspondent’s investigations showed that Max Air’s debt exposure to the two largest ground handling businesses — Skyway Aviation Handling Company Plc (SAHCO) and Nigerian Aviation Handling Company Plc (NAHCO), is put at roughly N1 billion.
This current move comes after a long period of disagreements between the handling businesses and various airlines on the buildup of unpaid service costs.
AGHAN had previously given a string of ultimatums to indebted airlines that failing to clear outstanding commitments could result in removal of services.
The association had announced it would start enforcement action on May 1, 2026 but deferred the action in view of the celebrations of the Workers’ Day and the need to sustain industrial harmony.
The group then issued a new three-day ultimatum to the impacted airlines, requesting rapid reconciliation and payment solutions.
In previous comments, AGHAN lamented the long delay in settling the debts that had put its member companies providing essential services such as passenger facilitation, baggage handling, aircraft cleaning, cargo processing, ramp operations and aircraft turnaround support under severe financial and operational stress.
The union reiterated that prolonged non-payment by airlines endanger the sustainability of ground handling operations and may eventually undermine the service delivery across the nation’s aviation sector.
Efforts to get a reply from Max Air on the development failed at the time of reporting this report.
