PIA team to leave for Malaysia to resolve aircraft issue

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RAWALPINDI: A delegation of Pakistan International Airlines and the Aviation Division will depart for Malaysia on Tuesday to resolve a dispute over two aircraft.

The delegation, led by Secretary Aviation, will also include PIA’s Chief Executive Officer Amir Hayat, technical officer and chief financial officer.

The dispute is over two Airbus A320 aircraft that PIA leased from AirAsia in 2012. In 2021, the airline tried to return them to the leasing company, which refused to take them back, citing poor conditions of the planes, a spokesman for the PIA said.

The company claimed the aeroplanes did not meet the criteria specified in the leasing contract and demanded their inspection by FL Technics, a global provider of aircraft maintenance, repair and overhaul services.

However, the PIA claimed that the aircraft were in good condition when they were returned.

As the leasing company started imposing penalties, PIA decided to buy the aircraft after paying an additional $15 million for each plane.

After the PIA was unable to pay the additional amount on time, the deal was cancelled, said the spokesman.

The issue has been lingering on for two years and has cost the PIA millions of dollars in parking fees and other expenses. The delegation will attempt to retrieve the agreement and bring the aircraft back to Pakistan, according to the PIA spokesman.

Published in Dawn, October 9th, 2023

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