Public Accounts Committee (PAC) of the National Assembly on Wednesday directed Pakistan International Airline (PIA) and Civil Aviation Authority (CAA) not to go into the court against each other over land dispute.
"Neither of the two government departments should go into the courts and try to settle their disputes mutually and through other available forum within the government", Chaudhary Nisar Ali Khan Chairman of the PAC directed both the organisations.
The committee was told that both the government departments have issues of land since 1980 and efforts are being made to settle them in next couple of months. The PAC was looking into the audit paras of Ministry of Defence from last three days.
Chairman PIA Ejaz Haroon said that the national flag carrier have accumulated a loss of Rs 55 billion by not raising the fare when the prices of oil in the international market were on rise. The first raise he said was made in 1997 whereas the oil prices started surging globally from 1994. He said that presently PIA fares are calculated on oil prices at $60 per barrel.
He assured the committee that all out efforts are being made to improve the performance of national carrier and to turn it into a profitable entity. Later, Secretary Defence Lieutenant General Athar Ali (Retd) said the United States had imposed ban on Pakistan's direct flights into United States after they have refused to share data of its nationals visiting abroad including the US.
Responding to quarries as to why no direct flight to the US was operating from Pakistan, he said US after 9/11 had made it conditional that direct flights would only be allowed if Pakistan shares complete data of its nationals travelling abroad.
Both the PIA management and Defence Secretary said that Boeing 777 instead of Airbus A-340 was purchased in view of their long-term financial viability. The audit said that Boeing 777 purchase has caused a loss of $221 million (Rs 13.260 billion) to the national exchequer and moreover the PIA hired services of a consultant at $78,000 but did not consider his report while taking final decision. The consultant had advised the PIA to go for A-340 instead of Boeing 777.
The Chairman sought audit views on this particular as well opened the floor for taking members' opinions. The members, however, in their individual views supported deal of Boeing 777.The PAC settled the audit para but did not give clear decision whether the decision PIA management took was right or wrong, all it directed the PIA to avoid such indulgence of hiring consultant of hefty amounts.
In long concluding remarks Chairman PAC directed the PIA to try to mend the behaviour of its employees whose primary focus should have been to ensure improved service to the passengers and not to the VIPs. He along with some other members said the national flag carrier was already suffering from overstaffing but the present government has decided to restore its employees sacked in the past that will put extra burden on it.