PIA New Delhi office receives closure notice

[third eye]

PIA New Delhi office receives closure notice from Indian authorities - World - DAWN.COM

NEW DELHI: India's Directorate of Enforcement has issued a notice to Pakistan International Airlines (PIA) asking it to “dispose of” its properties in New Delhi calling their purchase as “unauthorised”, according to a report on The Hindu.

The notice sent to PIA said the properties in New Delhi were acquired in contravention of the Foreign Exchange Management Act and without prior permission from the Reserve Bank of India.

“We are at a loss to understand why they are acting now, and how we will operate without a marketing and sales offices,” PIA Manager in North India, Saeed Ahmad Khan, was quoted in the report.

He added that the airline had been operating at the New Delhi premises since the past nine years and the Reserve Bank of India had been duly informed at the time of purchase in 2005.

PIA spokesman Rana Hanif told Dawn that its staff in New Delhi would appear before Indian authorities on January 29 and present the record and documents pertaining to the purchase, which had been carried out in accordance with the law.

Commenting on the denial of visa extension to PIA staff, Hanif said that, "Given the relations between India and Pakistan, denial of visa extension is a routine issue faced by the airline's staff; the visas are normally extended via diplomatic means."

He added that the staff had been instructed to maintain contact with the Pakistan High Commission in New Delhi in this regard.

Nine years since RBI first wrote to the Finance Ministry, notifying it about the PIA acquisition, the Department of Economic Affairs (DEA) had informed RBI in June 2014that “the proposal has been examined and rejection of the Government of India is hereby conveyed to the proposal of M/s Pakistan International Airlines for acquisition of immovable property at New Delhi, India”.

PIA had bought four flats in Kailash Building in Kasturba Gandhi Marg totaling 2,576 square feet in 2005 from the “surplus funds of Pakistan International Airlines, New Delhi”, according to the declaration the PIA submitted with the RBI in 2005. In the declaration, PIA had stated that the property was bought for its offices.

Directorate of Enforcement is a specialised financial investigation agency under the Department of Revenue, Ministry of Finance, Government of India, which enforces the following laws: -

Foreign Exchange Management Act,1999 (FEMA) - A Civil Law, with officers empowered to conduct investigations into suspected contraventions of the Foreign Exchange Laws and Regulations, adjudicate, contraventions, and impose penalties on those adjudged to have contravened the law.

Officials said FEMA laws stipulate that "no person being a citizen of Pakistan, Bangladesh, Sri Lanka, Afghanistan, Iran, China, Nepal or Bhutan without prior permission of the RBI shall acquire or transfer immovable property in India other than lease, not exceeding five years."

PIA, they said, was allegedly found contravening the above mentioned clause and hence ED has issued summons to it for scrutiny of official documents and records after which the agency will decide the further course of action to be taken.

 

[Tameem]

Modi Govt......upping ante unnecessarily

 

[Echo_419]

PIA New Delhi office receives closure notice from Indian authorities - World - DAWN.COM

NEW DELHI: India's Directorate of Enforcement has issued a notice to Pakistan International Airlines (PIA) asking it to “dispose of” its properties in New Delhi calling their purchase as “unauthorised”, according to a report on The Hindu.

The notice sent to PIA said the properties in New Delhi were acquired in contravention of the Foreign Exchange Management Act and without prior permission from the Reserve Bank of India.

“We are at a loss to understand why they are acting now, and how we will operate without a marketing and sales offices,” PIA Manager in North India, Saeed Ahmad Khan, was quoted in the report.

He added that the airline had been operating at the New Delhi premises since the past nine years and the Reserve Bank of India had been duly informed at the time of purchase in 2005.

PIA spokesman Rana Hanif told Dawn that its staff in New Delhi would appear before Indian authorities on January 29 and present the record and documents pertaining to the purchase, which had been carried out in accordance with the law.

Commenting on the denial of visa extension to PIA staff, Hanif said that, "Given the relations between India and Pakistan, denial of visa extension is a routine issue faced by the airline's staff; the visas are normally extended via diplomatic means."

He added that the staff had been instructed to maintain contact with the Pakistan High Commission in New Delhi in this regard.

Nine years since RBI first wrote to the Finance Ministry, notifying it about the PIA acquisition, the Department of Economic Affairs (DEA) had informed RBI in June 2014that “the proposal has been examined and rejection of the Government of India is hereby conveyed to the proposal of M/s Pakistan International Airlines for acquisition of immovable property at New Delhi, India”.

PIA had bought four flats in Kailash Building in Kasturba Gandhi Marg totaling 2,576 square feet in 2005 from the “surplus funds of Pakistan International Airlines, New Delhi”, according to the declaration the PIA submitted with the RBI in 2005. In the declaration, PIA had stated that the property was bought for its offices.

Directorate of Enforcement is a specialised financial investigation agency under the Department of Revenue, Ministry of Finance, Government of India, which enforces the following laws: -

Foreign Exchange Management Act,1999 (FEMA) - A Civil Law, with officers empowered to conduct investigations into suspected contraventions of the Foreign Exchange Laws and Regulations, adjudicate, contraventions, and impose penalties on those adjudged to have contravened the law.

Officials said FEMA laws stipulate that "no person being a citizen of Pakistan, Bangladesh, Sri Lanka, Afghanistan, Iran, China, Nepal or Bhutan without prior permission of the RBI shall acquire or transfer immovable property in India other than lease, not exceeding five years."

PIA, they said, was allegedly found contravening the above mentioned clause and hence ED has issued summons to it for scrutiny of official documents and records after which the agency will decide the further course of action to be taken.

With gods will we will win the 73rd gen warfare

 

[13 kumaon]

Good job,wth are they doing in India?

 

[third eye]

PIA’s Delhi office in trouble - The Hindu

PIA’s Delhi office in trouble

Airline staff denied visa extension

With relations between India and Pakistan reaching freezing point, a government notice to the sole carrier for flights between the two countries, Pakistan International Airlines, is likely to set off a diplomatic storm, with an Enforcement Directorate notice to PIA to “dispose of” its properties in Delhi as their purchase was “unauthorised.”

The ED said the properties were acquired in contravention of the Foreign Exchange Management Act and without the requisite Reserve Bank of India permissions. However, PIA Manager in North India, Saeed Ahmad Khan, told The Hindu that the purchases of four office spaces in Connaught Place here in 2005 had received clearances at the time. The airline has been operating from there for nearly a decade.

“We are at a loss to understand why they are acting now, and how we will operate without marketing and sales offices,” Mr. Khan said.

The issue has been discussed between Indian and Pakistani authorities for two months now with no resolution, and sources said the Pakistani government was going to take it up with the Ministry of External Affairs soon.

On Friday, PIA responded formally to the ED’s notice (FE.CO.FID 673/10.91.409 dated November 24, 2014) asking the RBI to “immediately withdraw” the notice, which it said was “hampering our smooth operation for the larger interest of the people of both countries.”

The reply also added that the RBI had been informed of the purchase through ‘Form IPI’ on June 20, 2005, via Citibank that had processed the payments.

PIA closure would snap vital link between India, Pakistan

Official Pakistani sources said they were worried that the Enforcement Directorate notice to the Pakistan International Airlines on its offices in Delhi, had political overtones, aimed at “cutting off a vital link between both countries”. PIA runs the only flights between India and Pakistan, with two flights a week on the Delhi-Lahore sector and once a week on the Mumbai-Karachi sector.

If those flights are unable to run, the only option for travellers would be to travel by foot on the Wagah-Attari border in Punjab, or pay for flights via a third city like Dubai, which would be considerably more expensive.

According to official figures, the Pakistan High Commission in Delhi issued about 64,000 visas last year, mostly to Indians visiting family in Pakistan, pilgrims, and members of ‘civil society’ who take part in school programmes, conferences and media exchanges.

A senior Indian official speaking to The Hindu downplayed the significance of the notice to PIA, adding that the Wagah-Attari route was in any case “the more popular” way for travellers to Pakistan.

Adding to logistical problems for PIA is that the visa of PIA Manager in North India, Saeed Ahmad Khan has not been renewed by the Ministry of Home Affairs and the Ministry of External Affairs, which has led to his mobile phone being disconnected.

When contacted, the Ministry of External Affairs said it had no comments on the issue. Pakistani officials insisted that the PIA flight service, that first started its operations to India in 1976, would not be cancelled, despite all the problems.

However, one official said they were apprehensive that the action came after Foreign Secretary talks were cancelled last July, and could indicate other actions could follow, which would “cause a further rift in ties.”

 

[shaheenmissile]

just ban indian flights over Pakistan.Most westward flights pass over Pakistan

 

[notsuperstitious]

just ban indian flights over Pakistan.Most westward flights pass over Pakistan

Or you can legally rent an office?

 

[nwmalik]

just ban indian flights over Pakistan.Most westward flights pass over Pakistan

Yes, this will bring the Indians to their senses.

 

[pursuit of happiness]

Yes, this will bring the Indians to their senses.

can you legaly do t as per international norm and rules?

 

[Dubious]

Or you can legally rent an office?

“We are at a loss to understand why they are acting now, and how we will operate without a marketing and sales offices,” PIA Manager in North India, Saeed Ahmad Khan, was quoted in the report.

He added that the airline had been operating at the New Delhi premises since the past nine years and the Reserve Bank of India had been duly informed at the time of purchase in 2005.

Nine years since RBI first wrote to the Finance Ministry, notifying it about the PIA acquisition, the Department of Economic Affairs (DEA) had informed RBI in June 2014that “the proposal has been examined and rejection of the Government of India is hereby conveyed to the proposal of M/s Pakistan International Airlines for acquisition of immovable property at New Delhi, India”.

After 9 yrs of rent suddenly it is illegal? amazing!

With relations between India and Pakistan reaching freezing point, a government notice to the sole carrier for flights between the two countries, Pakistan International Airlines, is likely to set off a diplomatic storm, with an Enforcement Directorate notice to PIA to “dispose of” its properties in Delhi as their purchase was “unauthorised.”

PIA closure would snap vital link between India, Pakistan

I guess it is best people from each region should stay in their chosen region! Their relatives arent going any where had they enough feelings they would have chosen a middle ground to meet like Nepal!

can you legaly do t as per international norm and rules?

American air space doesnt allow "unauthorized flights" over its air space...So I guess we can label anything from India as unauthorized

 

[pursuit of happiness]

After 9 yrs of rent suddenly it is illegal? amazing!




I guess it is best people from each region should stay in their chosen region! Their relatives arent going any where had they enough feelings they would have chosen a middle ground to meet like Nepal!


American air space doesnt allow "unauthorized flights" over its air space...So I guess we can label anything from India as unauthorized QUOTE]
if that legal.. then you can have best thing to do it.. but Q is will pak do it as most busy routs are gulf route and profitable which i think flown by UAE-Emirats ..

 

[Dubious]

if that legal.. then you can have best thing to do it.. but Q is will pak do it as most busy routs are gulf route and profitable which i think flown by UAE-Emirats ..

Do you mean to actually tell me no Indian airlines goes West ward? Whose talking about Emirates?

Thread is about India!

 

[metronome]

Do you mean to actually tell me no Indian airlines goes West ward? Whose talking about Emirates?

Thread is about India!

I think legally Pak will have to pay a heavy price (which they can not afford) for any moves banning Indian carriers over Pak airspace while we can legally kick PIA out and all is fair.

get used to it, little brothers

 

[Dubious]

I think legally Pak will have to pay a heavy price (which they can not afford) for any moves banning Indian carriers

Is that a threat?

or just an attempt for one?

 

[notsuperstitious]

After 9 yrs of rent suddenly it is illegal? amazing!

How does it work in Pakistan. After how many years an illegal transactions become legal?

And whats stopping them from simply renting another office and discarding this illegal one? I mean its not exactly inconceivable to change office after 9 years, is it?