The Pakistan International Airline (PIA) on Wednesday failed to give rationale behind its multi-billions-dollar plan of selling A300 B4 airbuses despite being operational and replacing them with expensive A310.
At a meeting of the Senate Standing Committee on Defence here, the PIA top management and defence ministry high ups also fell short in proving how much transparent the deal was.
Former PIA chairman Chaudhry Ahmed Saeed initiated the 'controversial' airbuses' replacement plan. The gentleman is said to be an influential individual to the extent that he has already averted a parliamentary probe into the matter by the Public Accounts Committee (PAC) of the National Assembly.
Presided over by its chairman senator Nisar Ahmed Memon, the committee asked PIA management to come up with a 'solid and acceptable' explanation of the plan in its next meeting might be held shortly, an opposition member of the panel told Business Recorder.
"We are not satisfied whatever explanation the PIA management comes up with. Our reservation are the same as were before the meeting," senator Rukhsana Zuberi of Pakistan Peoples Party Parliamentarians (PPPP) told this scribe.
"The deal the PIA has struck is not justifiable in any case and according to any standards whatsoever and it has caused a huge loss to the nation," senator Zuberi said.
On May 24, the government rushed through the same panel the PIA plan to sell A300 B4 airbuses and replace them with A310, setting aside a sub-committee contradictory suggestion and rejecting opposition members note of dissent.
The opposition member of the committee questioned the deal in May 24 meeting and asked PIA to explain what was compelling it for selling airbuses (A300 B4) in good operational condition and replacing them with two-and-a-half times expensive ones (A310).
A three-member sub-committee headed by Rukhsana Zuberi had also rejected the idea owing to financial reasons.
"The sub-committee has found even the annual lease of airbuses being purchased would be more than the total Rs 10.1 billion price of those being sold," Zuberi said, "Keeping in view all these factors, we decide to put a dissent note to the proposal."
Only five (three from treasury and two from opposition) out of 12 total members of the committee attended the May 24 meeting.
Meanwhile, a statement issued here said the committee expressed its concern that the information provided to it earlier about Global Positioning System (GPS) was inadequate and PIA chairman was directed to look into the matter.
It was explained that the plane, being sold either had to have GPS or International Navigation System (INS) equipment, since INS was expensive equipment, the planes were being sold with GPS equipment.
Chairman PIA Tariq Kirmani said that bookings were made on first come first service basis and PIA was buying new planes to strengthen its current fleet and improve its service.
The chairman informed the committee PIA had entered into an agreement with Transparency International with a view to bring in systems and processes that would ensure greater transparency.
He further informed the committee that Transparency International was helping the national flag carrier in developing the process that would be followed by PIA with a view to earn goodwill at international level.
He said new routes had been opened to provide greater facilities to the people of Pakistan.
In reply to a question from senator Mohim Khan Baloch, the chairman informed the committee that PIA would soon introduce Turbat-Sharjah route.


















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