MMIA Conflagration: FAAN Yet to Compensate Displaced Concessionaires Despite Multiple Losses

Chinedu Eze

Concessionaires at the Terminal 1 of the Murtala Muhammed International Airport (MMIA), Lagos, have decried the lack of effort by the Federal Airports Authority of Nigeria (FAAN) to compensate them for the huge loses they incurred during a fire incident, which destroyed the facility on February 22, 2026.

The concessionaires informed THISDAY that because of their inability to get any place to operate, about 5000 Nigerians who work at about 200 concession businesses are now disengaged.

It was learnt that fire engulfed the terminal two days before the deadline given to the concessionaires to relocate from the building.

But FAAN had not provided alternative place for almost 200 concessionaires with subsisting concessions.

It was also learnt that the fire, which started at about 2:00 pm on February 22 and was supposedly put off by 4:00 pm, continued to burn until in the early morning of the following day, damaging items from the 6^th floor to the basement.

As a result, many of the concessionaires incurred incalculable losses; yet, out of about 200 concessionaires that operate at the terminal, only 25 were accommodated in the new terminal, known as Terminal 2.

“No plan was made for majority of the concessionaires who had already lost so much in the fire and even after the fire, the terminal was vandalised by thieves who disguised as labourers working for the Chinese company rebuilding the terminal,” said a concessionaire who do not want his name in print for fear of persecution.

It was learnt that although FAAN security operatives arrested 14 in April following a swift and intelligence-driven response by FAAN’s security architecture, working in close coordination with the Joint Military Task Force (JMTF) and other security agencies deployed at the airport, vandalisation of items continued.

FAAN had reported that the theft was foiled through the vigilance, surveillance, and rapid intervention of FAAN security operatives and their partners and that the individuals were intercepted with vandalised materials, including copper wires and iron components, which had been illicitly removed from the construction site.

But the videos made available to THISDAY on Wednesday at the airport showed that the vandals did not embark on one-off theft of materials from the terminal. In fact, it seemed to be a syndicate that was tailored to vandalise the terminal after the fire.

The video revealed that the security instituted by CCECC, the company rebuilding the terminal showed the suspects who said that they came from Borno state to come and work at the airport and from their responses, they were hardly communicating in English and their working gear showed they were in labourer’s uniform.

Informed source told THISDAY that few days after the fire, the vandals gained access to the terminal and made away with valuables from the lounges and some of the chillers provided by FAAN were stolen.

“We have seven of those suspects in awaiting trial at Kirikiri prison. Their case will be coming up in July,” an official of FAAN protested. It was learnt that since the displacement of the lounges at the old terminal, knew lounges have emerged at the new terminal, some of them traced to those connected to those in past and present government.

“Some of the lounge owners like Newrest, an international brand, formerly ASL, British Airways lounge and many others were all displaced. In fact, four months before the fire, I learnt that Air France/KLM invested over 200, 000 Euros to upgrade their lounge at the burnt terminal. Things Remembered also spent money on renovation.

“Few days before that fire burnt the terminal we held a meeting with FAAN. That was one of the series of the meetings we had with FAAN but no headway was made. The concessionaires did not breach any law. Yes, they were given deadline to leave but fire destroyed their valuables before the deadline. And one of the things that delayed the relocation was that there was no place to relocate to in a subsisting concession arrangement.

“Even after the fire was put off and we came and surveyed the extent of damage that happened. We thought that it was the end of the destruction when few days later we came to the lounge and discovered many things gone. Insurance people came and looked things over in my place, but the following day we lost more things to the vandals,” one of the affected concessionaires told THISDAY.

The source lamented that the fire was allowed to smoulder even after it was said the fire had been put off.

“We thank Lagos Fire Service. They brought state-of-the-art equipment but because of the construction going on they could not easily access all the places the fire was burning. FAAN’ fire tenders were new but the pressure in them could not take their water very high up. It ended on the third floor,” the source informed THISDAY.

Video also showed that the fire at the top floor burnt for a long time before it was put off because it was difficult to bring fire fighters to the place.

The source expressed sadness that the vandals were allowed to strip the terminal after the fire, noting that because it was a construction site, FAAN’s Aviation Security (AVSEC) concentrated elsewhere and allowed the security of the construction company to take charge of the site.

“You have seen and heard that the thief caught with cables said that he paid the security man N5000. So, it seemed that it was an inside job. It was when other people came over that the vandals were arrested. There was one Chinese that was involved but his lawyer said that he was just passing by. The others were remanded at Kikiri maximum prison in Lagos.

“So far, no space has been given to the majority of the concessionaires displaced at Terminal 1. We have lost about 5000 jobs because out of over 200 concessionaires, only 25 have been given spaces. You know all those lounges, including Heineken Lounge, no place yet for them. That fire started at the basement but they are still conflicting about where the fire started and that explained why it took them time to put it off. And it burned from 2:00 pm till early in the morning,” the source said.

However, inside FAAN source told THISDAY that there were plans to compensate the concessionaires but the agency’s insurance firm is carrying out audit to know the extent of damage wrought by the fire and would also look at issues of theft.

The insider also told THISDAY that some of the concession agreements have ended and FAAN is not inclined to renew them, except those who carry out critical services.

“We got our insurance people to check these damages before we embark on compensating those affected. Those whose concessions have expired we won’t renew because there is no space to accommodate them, except those who provide critical service. Some of these are key stakeholders and we are doing everything possible to find space for them. We have held meeting with them and they know that FAAN is deeply concerned about what happened. FAAN also incurred huge losses too. So, we are working to compensate those affected by the fire,” the insider said.