SC quizzes PIA for handing over profitable routes to other airlines

KARACHI: The Supreme Court on Saturday took notice of the proposed privatisation of the Pakistan International Airlines (PIA) and handing over of the profitable routes of the national flag carrier to other airlines including Air Blue. The court also restrained the authorities from making fresh recruitments in the PIA.

Hearing human rights application with regard to the affairs of PIA, the Supreme Court’s two member bench headed by Chief Justice Mian Saqib Nisar directed the federal government, secretary ministry of defence, Chairman PIA to file comments about the affairs of PIA and apprise the court as whether certain profitable routes of the national flag carrier were given to the private airlines including Air Blue and whether the government has any intention to privatize the airline.

The court directed the deputy attorney general to file the comments on behalf of the PIA, secretary defence and others within one week and adjourned the hearing till April 9 at Islamabad principal seat.

The court also took notice of the appointment of adviser to Prime Minister on Civil Aviation Sardar Mehtab Khan Abbasi as Chairman PIA and inquired if he has the sufficient experience to run such an important organisation.

Meanwhile, hearing the suo moto case about inconvenience to the passengers in baggage handling, the court directed the Civil Aviation Authority to file comments on action against airlines for delayed flights. The court observed that CAA and other agencies have to facilitate the passengers.

Deputy attorney general Asim Mansoor filed reports on behalf of Airport Security Force, Federal Investigation Agency and Customs on recommendations of the commission which proposed several steps for facilitation of the passengers. The federal law officer suggested unity of command at airports amongst different agencies however action to be taken against delinquent as per their rules of the relevant authority.

The commission’s head submitted that there is no mechanism for providing facilities to the passengers in case of delayed flights. He mentioned that in the last three months as many as 260 flights were cancelled and over 100 flights delayed at the Karachi and Islamabad airports. The court directed the CAA to file report of action taken against officials of airlines for delayed and cancelled flights and submit a report. The court taking the recommendations on record, also constituted a monitoring committee comprising senior officers of ASF, CAA and the FIA to ensure implementation of the recommendations.

Meanwhile, the Supreme Court also restrained the merger of Sindh Bank with the Silk Bank and and directed the Governor State Bank of Pakistan to file a detailed report on the proposed merger.Taking up the issue with regard merger of Sindh bank with Summit bank, the Supreme Court’s three member bench headed by Chief Justice Mian Saqib Nisar took exception over the proposed merger and observed that how the millions of rupees debt of the private bank would be discharged.

The Chief Justice directed the advocate general Sindh to submit balance sheets of both the banks verified by the auditors. The counsel of the Summit bank submitted that that merger is being finalized between the banks with the approval of the SBP. The court issued notice to the Governor SBP to file comments on the issue and restrained the final merger of the banks till further orders.

The Sindh Bank official had submitted that the merger was decided in December 2016 however it could not be completed due to non-fulfillment of legal requirements. He submitted that all the legal formalities were being completed on the directions of the State Bank of Pakistan and after merger of the Summit Bank wit the Sindh Bank, the Sindh Bank’s network will increase. The Sindh cabinet has already approved the amalgamation of the two banks in December last.