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GACL secures legal victory in landmark asset repossession from McDan Group

Mabel Boamah by Mabel Boamah
1 year ago
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GACL secures legal victory in landmark asset repossession from McDan Group
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The Ghana Airports Company Limited (GACL) has achieved a significant legal and operational milestone after an Accra High Court granted it full possession of over 16 acres of prime airport land previously held by subsidiaries of the McDan Group of Companies.

The ruling, delivered on Monday, May 6, 2025, follows a protracted legal battle initiated by GACL in February this year. The company had accused McDan Shipping Company and Airport Logistics Limited—both under the McDan Group—of breaching lease agreements and defaulting on ground rent payments related to parcels of land located near the Kotoka International Airport (KIA).

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The reclaimed parcels, measuring 10.63 acres and 5.66 acres respectively, are strategically situated adjacent to and opposite Action Chapel International. GACL’s legal action sought the recovery of $26,296 in unpaid rent and a perpetual injunction restraining the defendants from further encroachment or interference.

After reviewing the case, the court upheld GACL’s motion for summary judgment, ruling that the defendants had no valid legal defense. In addition to awarding all reliefs sought by the plaintiff, the court imposed GH¢50,000 in legal costs on the McDan subsidiaries.

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Read Also: GNFS clarifies fire report charges as part of public safety and operational support strategy

This ruling marks the culmination of ongoing tensions between the parties, including a separate dispute in December 2024 that led to the temporary suspension of McDan Aviation’s private jet operations at Terminal 1 over unresolved financial obligations.

A senior official at GACL described the judgment as a “landmark asset recovery success” that underscores the agency’s commitment to protecting public assets and enforcing lawful lease compliance.

“The repossession of these strategic lands not only protects state property valued in the millions but also sets a precedent for how public lands are managed in Ghana’s aviation sector,” the official noted.

The successful litigation effort is being attributed to the collaborative work of GACL’s Legal Department and its Managing Director, Mrs. Yvonne Nana Afriyie Opare, who has been at the forefront of the company’s asset recovery and compliance drive.

Following the court’s decision, GACL is expected to explore new development opportunities on the reclaimed lands, including potential aviation-related projects and strategic partnerships aimed at enhancing airport infrastructure and boosting revenue generation.

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Tags: AssetRecoveryAviationGACLGhana JudiciaryKotoka AirportLegal VictoryMcDanPublic AssetsYvonne Opare
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