The Ghana Airports Company Limited (GACL) has disclosed that McDan Company Limited, led by business magnate Daniel McKorley, has been in debt to the tune of US$3,995,622.66 and GH¢13,523.37, with payment defaults dating back to 2020. While the company recently made a payment of GH¢2 million, the GACL insists on full settlement of all outstanding amounts before reopening Terminal 1 at Kotoka International Airport, which McDan Aviation operates as a private jet terminal.
GACL’s Justification for Terminal 1 Closure
The GACL explained that the decision to shut down Terminal 1 was part of its routine debt recovery exercise aimed at recouping funds owed by defaulting companies. In a statement issued on December 31, 2024, the GACL detailed McDan’s debt status, citing unpaid obligations spanning several years:
- Default Since 2020: McDan has consistently failed to honor agreed-upon payment plans presented to the GACL.
- Unpaid Revenue Share: McDan owes the GACL 15% of gross revenue from operations between September 1, 2022, and November 30, 2024.
- Ground Rent Dispute: McDan has refused to pay ground rent for lands leased from the GACL since 2015, claiming litigation on the property. However, GACL asserts that McDan has developed the land into commercial properties and is earning rental income without fulfilling its obligations.
The GACL also noted that four other companies operating at Kotoka International Airport were closed as part of its debt recovery exercise.
Statement from GACL
“For the record, McDan Company Limited paid two million Ghana cedis (GH¢2,000,000) on December 24, 2024, out of the outstanding three million nine hundred and ninety-five, six hundred and twenty-two US dollars, sixty-six cents ($3,995,622.66) and thirteen thousand five hundred and twenty-three cedis thirty-seven pesewas (GH¢13,523.37) owed GACL,” the statement read. 
The company emphasized that it will pursue all outstanding debts across its operations, stating, “We will continue to pursue all debts as we have always done throughout the years to retrieve monies owed to GACL.”
Reactions from McDan and Other Stakeholders
McDan’s Response
McDan Aviation responded by claiming that its total debt to the GACL is less than US$3 million, disputing the GACL’s figures. Daniel McKorley, the CEO of McDan Group, assured that the company is “not above the law” and committed to resolving the matter.
Public Concerns
The shutdown of Terminal 1 has drawn public and industry attention to issues of accountability and transparency in Ghana’s aviation sector. Critics question why the GACL waited this long to act on a debt that has been accumulating for years.
Broader Implications for GACL and McDan
Impact on Aviation Operations
- The closure of Terminal 1 affects McDan Aviation’s private jet operations, with potential reputational damage to both parties.
- GACL’s stringent debt collection efforts may discourage future defaults but could also create tension with private operators.
Industry Accountability
The dispute highlights the need for stricter enforcement of agreements between the GACL and private operators to prevent recurring issues.
Potential Legal and Financial Fallout
If unresolved, the standoff could escalate into litigation, further delaying payments and impacting the financial stability of both entities.
Conclusion
The McDan-GACL debt saga underscores the importance of honoring financial obligations in the aviation sector. While the GACL has taken a firm stance to ensure accountability, McDan Aviation must prioritize settling its debts to restore operations and protect its reputation. The resolution of this issue will serve as a precedent for how Ghana handles corporate debt in its key industries moving forward.
