The long-standing dispute between AIC Limited, founded by the late business mogul Harry Akande, and the Federal Airports Authority of Nigeria (FAAN) has resurfaced as construction accelerates at Lagos’ Murtala Muhammed International Airport. The conflict centres on a parcel of land leased to AIC in 1998 for a flight path hotel project but now earmarked for FAAN’s ₦712bn refurbishment scheme.
FAAN had granted AIC a 50-year lease for the development of a hotel and resort complex, but later repossessed the land, arguing it was critical to the airport’s expansion plans. This move triggered litigation spanning Nigerian courts and arbitration panels abroad, including a $48m damages award granted to AIC in 2010 by a London tribunal.
The dispute reignited in August 2025 when AIC’s lawyers accused FAAN of encroaching on the site despite subsisting court orders. In a letter dated August 19, AIC warned that it would initiate contempt proceedings if FAAN failed to halt ongoing works on the disputed land.
Court records show mixed outcomes: a Federal High Court ruled in FAAN’s favour in 2013, while the Court of Appeal later revived AIC’s claim. The matter is still pending at the Supreme Court, even as AIC secured enforcement rights in UK courts, which criticised FAAN’s handling of the case.
The ₦712bn airport refurbishment project seeks to expand terminal facilities but appears to extend into the contested parcel. AIC insists any development without resolving the dispute would violate its contractual rights and court orders. FAAN has yet to issue a public response.
For observers, the saga underscores the complexities of Nigeria’s infrastructure contracts. Nearly three decades after the original lease was signed, the land tussle remains unresolved—casting a shadow over one of the nation’s most ambitious airport modernization projects.
