PIA Awards Rs700mn Contract To Newly-Registered Firm
Rs700 million contract for the upgradation of in-flight entertainment in eight ageing Boeing 777 aircraft has been awarded by Pakistan International Airlines (PIA) to a local company Avionic Solutions Private Limited, that was registered only two months before the tender for the project was floated by PIA.
According to the investigative piece published in The News on Tuesday claimed that the company in question, run by a retired Pakistan Air Force (PAF) officer, Khawaja Moizuddin was registered with a capital share of just Rs100,000.
The owner of the private company, Moizuddin, is also allegedly a close friend of suspended PIA CEO Air Marshal Arshad Malik. The Sindh High Court had earlier this year barred Malik from discharging duties at PIA after a petitioner challenged his qualifications for the job.
When contacted to comment on the developments, a PIA spokesperson termed the allegations “highly unfair and absurd.” Avionic Solutions, according to the spokesperson, had extensive commercial, military avionics, and technical support experience, The News reported.