05 March 2005	Saturday	23 Muharram 1426

ISLAMABAD, March 4: The Ministry of Defence informed the National Assembly on Friday that the proposed sale of six A-300B4 and two B-747 aircraft had been deferred in view of apprehensions that the process adopted by the PIA management for their disposal was less transparent.

The information was provided by the Minister of State for Defence Zahid Hamid while responding to a "call-attention notice" moved by opposition MNAs who alleged that kickbacks or commissions were involved in the deal.

MNAs Sherry Rehman, Nawab Yousaf Talpur, Qamar Zaman Kaira, Khurshid Ahmed Shah and Raja Pervez Ashraf had moved the notice "regarding sale of some aircraft by PIA at inappropriate prices".

After admitting the call-attention notice for debate, Speaker Choudhry Amir Hussain gave the floor to Sherry Rehman who questioned PIA's policy of selling the A-300B4 aircraft despite their air-worthiness and feasibility on Middle Eastern and European routes.

She said PIA was planning to go ahead with the sale of the A-300B4 after installing latest GPS navigation systems worth $2 million on them. She said the PIA management had by-passed the parliament while taking an important decision and should be held accountable for attempts to scuttle the procedures of parliamentary accountability.

She also questioned the rationale of the policy to sell A300-B4s while the airline had leased a similar aircraft from the MNG for approximately $2 million. Ms Rehman also challenged the rationale of leasing A-310 aircraft for which the PIA would be paying $15 million per annum over the next 10 years while the A-300B4s were air-worthy and feasible in their operational life for another few years.

MNA Khurshid Shah said the house should be apprised of the reasons for selling air-worthy aircraft and purchasing expensive new aircraft in their place. He demanded that complete comparative details about the air-worthiness, age and route feasibility of A-300B4 and A-310 should be placed before the house.

Raja Pervez Ashraf said the PIA's decision to lease A-310 would burden the national exchequer. He said the matter of sale of A-300B4s should be investigated thoroughly. While questioning the PIA's decision to sell the A-300B4s despite their air-worthiness, Mr Ashraf asked: "Is it a matter of kickbacks and commissions?"

Reacting to the allegation, Parliamentary Secretary for Defence Tanveer Hussain Syed said: "There is no sale up to now, so the question of misappropriation or commission does not arise."