ISLAMABAD: The Ministry of Privatisation has rejected all objections raised by workers’ unions and issued a detailed speaking order paving the way for the completion of Pakistan International Airlines’ (PIA) privatisation process.
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In a comprehensive decision issued under the directives of the Lahore High Court (LHC), Privatisation Secretary Hammad Hashmi stated that the entire process for the sale of the national flag carrier was conducted in accordance with the law. He maintained that none of the objections submitted by the workers’ union “Peoples’ Unity” and other petitioners had any legal merit.
“None of the allegations raised by the petitioners/objectors establishes any constitutional violation, statutory breach, arbitrariness, mala fide, or infringement of fundamental rights,” the order said. It added that the privatisation of Pakistan International Airlines Corporation Limited (PIACL) had been undertaken within constitutional authority, statutory mandate and established principles governing the privatisation process. The petitions were consequently dismissed.
The development follows a January 23 directive by the LHC, which instructed the petitioners to appear before the privatisation secretary for a hearing and required him to issue a reasoned order after considering their objections.
Addressing the argument that the matter should have been placed before the Council of Common Interest (CCI) under Article 154 of the Constitution, the secretary stated that CCI approval was already in place through the airline’s inclusion in the privatisation list. He further held that the transaction falls under the executive authority of the federation as provided in Article 173 of the Constitution, which empowers the federal government to dispose of its property and enter into contracts.
The order also dismissed claims of a violation of Section 3(3) of the PIAC Conversion Act 2016, noting that the provision had been removed through a parliamentary amendment in 2023. Since the privatisation process was initiated after the amendment, it was fully aligned with the prevailing legal framework.
Responding to allegations of undervaluation of PIA’s international and domestic flight slots — which objectors claimed were worth Rs270 billion and Rs19 billion respectively — the secretary observed that the figures were not supported by any credible valuation report or admissible evidence. He said unsubstantiated claims could not justify judicial interference in a commercial transaction.
With the dismissal of the objections, the ministry has effectively cleared all pending hurdles in the privatisation process.
