State-owned Ghana Airports Company Limited (GACL) has closed McDan Aviation (Ghana)'s fixed-base operation (FBO) at Accra's terminal 1, alleging repeated non-payment of licence fees, rent, and royalties, MyJoyOnline has reported.
In a statement dated March 12, GACL said McDan began defaulting shortly after a 10-year agreement took effect on August 1, 2022, leading to a temporary closure of the FBO in late 2024.
Although part of the arrears was later settled and the facility subsequently reopened, outstanding amounts remained, including the FBO operating licence fee, which the airport authority said had remained unpaid since 2022.
GACL said it issued a 90-day termination notice on January 10, 2025, requesting settlement of the outstanding debt, followed by three reminder notices during the year. During that period, McDan proposed a payment plan and submitted three post-dated cheques. The authority said the company later requested for the cheques not to be executed, citing financial constraints.
After the notice period expired and a final warning was issued in November 2025, GACL said it instructed McDan to vacate terminal 1, secured the facility on February 8, and requested the removal of all equipment within seven days. The authority added that several further notices were sent, but no response was received.
Although a partial payment of USD265,000 was made on February 27, GACL said the amount represented roughly half of the outstanding balance and would be treated solely as partial settlement, without restoring the FBO agreement.
McDan challenges termination
In response, McDan, through McDan Aviation Handling Services Limited, has filed proceedings before the Commercial Division of the High Court in Accra, arguing that the closure was unlawful.
According to the statement of claim, the company argues that GACL did not follow the contractual termination procedure, which it says requires a 90-day cure period for defaults, and instead issued notices of three, five, and 15 days. McDan further alleges that a court injunction served on March 10 was not observed.
The filing states that all outstanding payments have since been settled and seeks a declaration that the closure was unlawful, together with damages related to the shutdown. McDan says more than USD3 million was invested in establishing the facility.
The dispute also extends to a separate disagreement involving a 16-acre (64,750-square-metre) parcel within the airport area, where GACL alleges that McDan has developed commercial properties generating rental income while significant obligations remain outstanding.
Separately, the Committee for Public Accountability (CPA) has questioned the legal basis for GACL's takeover of the terminal 1 facility and called for publication of the underlying contract as well as parliamentary scrutiny.
Beyond FBO activities, McDan provides aircraft management and executive charter operations under McDan Aviation Ghana and McDan Aviation (San Marino).
