PIA Boeing 777 Impounded by Malaysian Authorities in Kuala Lumpur

[Abbas Ali]

PIA has obtained services of two leading Malaysian lawyers to submit reply in the Malaysian court.

Abbas

[Badar42]

PIA has obtained services of two leading Malaysian lawyers to submit reply in the Malaysian court.

Abbas

Not rushing into things are they ,PIA should've arranged this over the weekend and gone to court today,but since we haven't heard anything it means it hasn't been done yet

[adamalikhan]

What I am confused about is what is PIAs defence/position will be in court.

They will be asking the judge to release an aircraft that they have leased but not paid and to decide against the party who has leased out the aircraft and are not being paid?

[Abbas Ali]

PIA should leave AP-BMH at Kuala Lumpur and settle payment dispute with the leasing company and also return the other B777 i.e. AP-BMG leased from the same company.

BTW, who's now going to pay aircraft parking charges at Kuala Lumpur Airport? PIA or leasing company?

Abbas

[NL]

who's now going to pay aircraft parking charges at Kuala Lumpur Airport? PIA or leasing company?

I suppose the lessor will try to add that on top of the bill, along with all other costs (solicitor, legal fees, etc.) of the repossession operation. In most jurisdictions the losing party is on the hook for the costs associated with legal proceedings. In reality though, I expect whoever gets to fly out the aircraft from KUL will have little choice but to make a payment to the airport prior to departure (and see if there's any chance of recouping that amount later, if at all).

[ammad]

Honestly what more of a reason does the government need to fire the CEO , he’s not competent he never was , wonder what General wants him there despite these failures.

They will never allow or shouldn't be as well, to appoint Chief of Air staff as some other retired civilian directly, but these old retirees heavy on Pension mess around other institutions.

Ideally PIA should pick CEO some pretty honest and hard working PIA employee who is with PIA from very least like last 20 years or so and have progressive career in the same organization, it could be from Engineering Dept or from FOps, but should be from with in PIA.

[A310]

Honestly what more of a reason does the government need to fire the CEO , he’s not competent he never was , wonder what General wants him there despite these failures.

It’s a vicious cycle friend. The mil got rid of him by handing him over PIA. Arshad never had a good reputation in PAF too. Him along with Sarwar should be held accountable immediately.

[subhan27]

How embarrassing this situation this is for PIACO with other problems to go with it.

[Hassan777]

Ideally PIA should pick CEO some pretty honest and hard working PIA employee who is with PIA from very least like last 20 years or so and have progressive career in the same organization, it could be from Engineering Dept or from FOps, but should be from with in PIA.

Exactly, only someone who has given blood and sweat to PIA would understand the sensitivities of PIA and will take things seriously or at least the person will have a sense of ownership unlike people who are picked from outside who don’t care about anything but their salaries.

[ammad]

Supreme court of Pakistan when took the notice About Arshad Malik appointment case, Chief Justice should ask him only one Question before deciding the case.

Do you have experience running Commercial Airline with fleet of 10+ Aircraft in DMD or CEO capacity before?

His answer should determine his faith, not sure why he was spare by the court when the Advertisement was obviously molded just for him by adding war courses as qualification for PIA CEO.

[Abbas Ali]

Cartoon in January 19 edition of English daily "The Express Tribune".



Abbas

[Abbas Ali]

Today, PIA's own Boeing 777-200ER registration AP-BGK performed Lahore to Kuala Lumpur flight PK894.


Source: flightradar24.com

The aircraft is now performing Kuala Lumpur to Islamabad flight PK895.


Source: flightradar24.com

Abbas

[cpt_747]

I do not understand when the PIA management going to learn to pay their dues?

It is a business, not a charity, if they’re unable to operate this airline (which they can’t seem to) then it’s best to sell this to those who can run it like it should be - a business.

There is no point in whinging and whining over it. PIA failed to keep up it’s payments to the lessor which subsequently saw the very aircraft being impounded with the help of a foreign authority.

[Abbas Ali]

According to news reports:

Today, a court in UK heard the case of payment dispute between aircraft leasing company and PIA. The case hearing was virtual.

Total amount of nearly USD 14,000,000 was due to be paid by PIA to the leasing company.

Lawyer representing PIA informed the court that the airline has paid around USD 6,980,000 to the leasing company for the Boeing 777 (AP-BMH) aircraft impounded in Malaysia. Nearly same amount i.e. nearly USD 7,000,000 remains due to be paid by the airline.

Lawyer representing PIA sought time to resolve the dispute.

PIA made payment today, a lawyer representing aircraft leasing company informed the court.

Lawyer representing aircraft leasing company said that the case was filed in the court due to USD 580,000 per month unpaid by PIA.

Dues to leasing company are unpaid since June 2020.

PIA has sought reduction in aircraft lease "overhead charges" due to COVID-19 pandemic that has hit the aviation industry.

PIA and leasing company to plan schedule for payment of remaining amount. The aircraft will return to PIA on lease after completion of payment by the airline to the leasing company.

Next hearing of the case in UK to take place on January 29.

Abbas

[baberblues]

They made a partial payment the day the court case was? Is that correct?

And this airline was trying to lobby the CAA/Gov to prevent virgin atlantic landing at Pakistani airports. Seriously, this makes me laugh.