London High Court collects £6,711 from PIA

LONDON: Pakistan International Airlines (PIA) has paid £5000 in cash to two members of the Association of Pakistan Travel Agents (APTA-UK), who have brought case against the PIA, as part of the initial cost of the legal action that APTA-UK members have taken against the national airliner.
The court gave PIA 14 days to pay this sum but when PIA failed to comply, the claimants, after consulting with the court, sent High Court Bailiffs to PIAs’ offices in Hammersmith to collect the money immediately.
According to the official papers available with The News, the bailiffs charged an extra £1600 as their execution fee along with the £111.75 court fee bringing the grand total to £6711.75, which is now in the possession of the claimants’ solicitor.
Global Service and Raison Travel, who are both APTA-UK members, are some of the oldest sales agents of PIA in the UK and have filed a claim-suit alleging that the national airliner failed to honour the terms of it’s contractual agreements; and in particular has not paid the two percent incentive or over-riding commission (ORC) for 3 years.
Initially, PIA appealed against the case challenging it’s viability but the procedural judge, who deals with the first stage of any High Court proceedings refused their appeal as the members of APTA-UK are financially viable, self sufficient are capable of funding the action.
PIA further appealed against the decision to bear all of the costs of the claimant for that preliminary hearing but the High Court Master rejected PIA’s application to appeal again citing that “both companies have assets which were sufficient to fund the litigation as it continues and that it has reached this decision after considering that the maybe the appeal is being used to oppress i.e. stifle a genuine claim.”
Prior to the start of the London High Court case on 14th of February, senior members of APTA have met with PIA’s General Manager Mansoor Mela and the Director of Marketing Jilal Haider to discuss how the matter can be resolved amicably but the two sides have failed to reach on an agreement.
The acrimonious battle will cost 10s of 1000s of Pounds and the unsuccessful party will be ordered to bear all costs of the successful one. If the case proceeds to a full trial, legal costs may exceed an estimated £500,000 mark. The decision to go to the court was taken by the APTA president Riaz Hussain Syed and its chief executive Mehmood Ahmed after failing to engage PIA for the resolution of the dispute.
Mansoor Mela, PIA UK & Ireland manager, told The News that Raison Travel and Globe Travel had “used APTA funds to lodge their personal claims and most APTA agents don’t even know this”.
He said “many of the APTA” members were “shocked” that the two travel agencies “used APTA member’s money to further their own case”.