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PIA plane 'held back' by Malaysian authorities over UK court case

Ahmet Pasha

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A Pakistan International Airlines plane has been held back by Malaysian authorities over a British court case, the airline said on Friday, adding that it would pursue the matter through diplomatic channels.

The Boeing 777 aircraft was seized after a court order, an airline spokesman said, and alternative arrangements were being made for passengers due to fly back to Pakistan.

“A PIA aircraft has been held back by a local court in Malaysia taking a one-sided decision pertaining to a legal dispute between PIA and another party pending in a UK court,” a PIA spokesman said in a statement.


The national carrier in a statement described the situation as “unacceptable” and said it had asked for support from Pakistan’s government to raise the matter diplomatically.

The company did not say where the plane was being held. The spokesman told Reuters that the matter related to an arbitration case over payments being heard in a UK court. Further details of the case were not immediately available.

Malaysian authorities did not immediately respond to a request for comment.


With more than $4 billion in accumulated losses, PIA was already struggling financially when flights were grounded last year due to the pandemic.

As it resumed operations in May, a domestic PIA flight crash in Karachi killed 97 of 99 people on board.

Pakistan’s aviation industry was then hit by a scandal in which pilots were found to hold “dubious” licences – prompting a number of countries to ban PIA from operating flights in their jurisdictions.

The airline was banned from flying to the European Union for six months over safety compliance concerns under a ban still in place.



Commenting on the legal dispute, PIA spokesperson Abdullah Hafeez Khan told Dawn.com that it was a "payment dispute between us and the party Perigreen" that had been filed in the UK courts about six months ago.


The spokesperson refused to give further details on the dispute, adding that the Malaysian court took an "ex-parte decision causing inconvenience to the passengers who had already boarded the plane".


In response to a question about the issue, Foreign Office spokesperson Zahid Hafeez Chaudhri said the Pakistani high commission in Malaysia was in close contact with the relevant Malaysian authorities and PIA "to address the issue at the earliest".


"Meanwhile, the passengers are being properly looked after and alternate arrangements for their travel to Pakistan have also been finalised," he said, adding that they will be departing Kuala Lumpur by Emirates flight EK-343 later tonight.

If incompetency had a face it would be Imran Khan. He and his team has ruined everything.

There is sequel of failures. Journey started from selection of goons in KP and now incompetancy is prevalent in the Federal Govt. Team of Imran will not stop here. The next episode of lame excuse is 'main kahan say farashtay laoon'
Man breaks my heart knowing how much money there is to be made in aviation and how bad PIA is messing up.
 
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Death Adder

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It’s unfortunate that instead of criticising incompetent Niazi and Ayere Maaarshal sahib, we turned this matter into India vs Pakistan.
 

GriffinsRule

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I hope this is trend continues and there is a death kneel for the PIA in my lifetime. There is no need for a national airlines. If the market demands it, private companies can fly the same routes as PIA does. Otherwise save the money and put it to better use than this blackhole of an institution.
 

Patriot forever

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Priorities of our Aviation Minister??

View attachment 707339
PIA is doing everything possible to get out of the hole its been thrown into. There is no easy way out. I know what your intention is here but still have a look, this is what was done to PIA.

PIA used for drug peddling.


PIA aircraft gone missing.


BTW its ACM running PIA and he is a very capable guy, and is doing a good job.
 

muhammadhafeezmalik

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PIA is doing everything possible to get out of the hole its been thrown into. There is no easy way out. I know what your intention is here but still have a look, this is what was done to PIA.

PIA used for drug peddling.


PIA aircraft gone missing.


BTW its ACM running PIA and he is a very capable guy, and is doing a good job.
He is a capable guy, there is no doubt in it, but dealing with a fighter army is different than a corporate airline.
 

Patriot forever

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He is a capable guy, there is no doubt in it, but dealing with a fighter army is different than a corporate airline.
He is a professional guy and that's what PIA needs. So far he has taken all the right steps.

Beside I will not criticize him for this action. He was right to go for renegotiation of expensive lease to take advantage of covid situation.
 

niaz

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I have no idea about the small print in the PIA Lease Agreement with the Vietnamese company. However, at least in the UK, the effects of Covid-19 are not considered as the reason for not paying your obligation.

For example, many businesses in the UK had signed up for a ‘Business interruption’ Insurance whereby the Insurance Company was liable to pay the insurer for the loss of income due to interruption of the business activity for reasons beyond the control of the business owner. Businesses suffered heavy losses due to the ‘Lockdown’ enacted by the UK Gov’t during 2019. Insurance Companies reused to pay because they said the interruption due to Covid was not included because it was due to the Gov’t actions.

A few days ago the Highest Court of England ordered the Insurance Companies to pay up about £1.2-billion worth of claims.

Small businesses hail Supreme Court ruling forcing insurers to pay out for losses from first Covid lockdown - with tens of thousands of firms in line for £1.2bn windfall (including Gary Neville and Ryan Giggs's luxury hotel chain!)

https://www.dailymail.co.uk/news/article-9150843/Insurance-firms-pay-firms-lost-cash-Covid.html

My point is that what is legally owed has to be paid. If you can get the other party to agree to reduce or forgo what is legally due, it is due to your negotiating skills and magnanimity of the other party. In this case, the Vietnamese company is sticking to their guns, and I am afraid PIA would have to cough up the funds.
 

bahadur

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Pakistan should reciprocate and should immediately seize a Malaysian Airline Plane. Why the hell they are interfering in a legal dispute where they are not even a party?

It is a very hostile act from Malaysia.
This should not come from ummah country.
 
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