The Hotel Owners and Managers Association of Lagos (HOMAL) has accused the National Institute for Hospitality and Tourism (NIHOTOUR) of harassing hotel operators through enforcement activities and collecting payments from affected businesses, as it cited a Federal High Court judgment ordering refunds to its members.
HOMAL President, Chief S.O. Alabi, made the allegations at a press conference on Monday, October 19, 2026, saying some member hotels were invaded and shut down during NIHOTOUR’s enforcement operations and reopened only after payments of N2.5 million to a company identified as NIHOTOUR Training, Research and Consultancy.
The judgment in suit No. FHC/L/CS/906/2025, as outlined by Alabi, ordered NIHOTOUR to refund payments made by HOMAL members in connection with the agency’s enforcement operations. The court also awarded N10 million against NIHOTOUR in favour of the association.
Alabi said the dispute arose from NIHOTOUR’s demands for the registration of hotel chief executives and heads of department under the National Institute for Hospitality and Tourism (Establishment) Act 2022. HOMAL challenged the demands, arguing that the agency lacked constitutional authority to regulate the registration, certification and manpower standards of hospitality businesses operating wholly within Lagos State.
According to the association’s president, HOMAL wrote to NIHOTOUR on March 10, 2026, objecting to the demands on the advice of its lawyers. He said the agency ignored the letter and continued its enforcement activities despite the association’s subsequent court action.
Alabi alleged that one of the enforcement operations resulted in an injury to a staff member of a hotel, leaving one of the employee’s eyes blinded. He said a court order was eventually obtained to halt the agency’s activities.
In its judgment, the court held that provisions of the 2022 NIHOTOUR Act relating to the standardisation, registration and certification of hospitality and tourism personnel, as well as minimum manpower requirements, were unconstitutional in their application to establishments operating wholly within Lagos State.
The court also held that the Lagos State Hotels Licensing Authority Law 2010 regulates tourism within the state and that NIHOTOUR lacked the constitutional power to regulate or revoke operating licences issued by the Lagos State Government.
It further declared enforcement actions taken by NIHOTOUR against HOMAL members in Lagos under the disputed provisions unconstitutional, illegal, null and void, and issued a perpetual injunction restraining the agency and its agents from forceful enforcement, arrest, detention and collection of money or fees under the Act.
Beyond the enforcement dispute, Alabi accused NIHOTOUR of attempting to have HOMAL’s registration certificate withdrawn by the Corporate Affairs Commission. He said the agency also wrote to the Economic and Financial Crimes Commission, alleging that the association was diverting revenue meant for the Federal Government.
The association, he added, is defending six members served with court papers in a separate case involving 16 hotels in Abuja.
Alabi said the dispute was not about resistance to improved standards in the hospitality industry, but about the limits of NIHOTOUR’s regulatory powers.
“It is pertinent to clarify that the issue at stake is not about upholding or improving the standard of our business,” he said, adding that HOMAL members had invested their resources in developing the industry and were committed to improving their facilities and operations.
While acknowledging that the defendants could appeal the judgment, Alabi said the association was prepared to defend its position in court.
“Nevertheless, until the judgement is set aside by higher court it defines our members’ relationship with NIHOTOUR,” he said.
He assured HOMAL members that the association would continue to defend their interests and urged them to operate without fear of harassment under the disputed provisions of the NIHOTOUR Act.
