Haj fares to be reduced this year, PAC told

[Naveed Yaseen]

* PAC orders Foreign Affairs Ministry to close non-operative bank accounts
* Defence secretary says privatisation of PIA not on cards

By Muhammad Bilal

ISLAMABAD: Pakistan International Airlines (PIA) Managing Director Ijaz Haroon told the Public Accounts Committee (PAC) on Wednesday the national flag carrier would reduce Haj fares in 2009.

During a meeting at Parliament House under the chairmanship of Nisar Ali Khan, the PIA MD said Haj fares would be reduced from Rs 85,000 to Rs 75,000 and Rs 75,000 to Rs 65,000 for north and south areas of the country, respectively. He said the PIA has requested the Religious Affairs Ministry to allow other airlines to participate in Haj operations. He said the PIA had faced daily losses of Rs 40 million during 2008, but its operating profit has reached Rs 2.3 billion in the last quarter. To questions, he denied that any deal had been struck with PIA pilots, assuring the salaries of pilots and other staff members would be increased.

Close accounts: The PAC meeting, called to discuss the audit reports of the foreign affairs and defence ministries for 2005-06, directed the Foreign Affairs Ministry to immediately shut down all non-operative bank accounts at its foreign missions.

A four-member sub-committee headed by Zahid Hamid, and comprising Hamid Yar Hiraj, Nadeem Afzal Chan, and Asia Nasir, was constituted, and Foreign Secretary Salman Bashir was directed to provide complete details of all non-operative bank accounts at foreign missions in addition to the names of officials who allowed such accounts to be opened. The PAC took notice of the non-operative bank accounts during a discussion on an audit para regarding unauthorised retention of Rs 19.011 million in government money due to four non-operative bank accounts of Pakistan mission at Brussels since 1976.

The PAC also constituted a three-member sub-committee to probe the lack of a record of gifts worth Rs 1.012 million given to dignitaries during 2005, and recommend punitive action against the officials responsible. The PAC chairman said the government had lost its writ in federal ministries. “We have to ensure writ of the state in foreign ministry as well,” he added. The committee also allotted six months to the foreign affairs secretary for rationalisation of rents fixed for suites for Ghazi Illamdin Shaheed Hostel, Islamabad.

Privatisation: Defence Secretary Syed Athar Ali Khan told the PAC the PIA would not be privatised. However, he said this was a political decision and the government would have the ultimate say. He said efforts to make the national flag carrier profitable were currently underway.

A-1 land: Also on Wednesday, audit authorities informed the PAC that A-1 military land in Cantonment was being used for commercial purposes. He said a working group comprising members from the auditor general of Pakistan, the Defence Ministry and the PAC would likely be formed next month to debate the issue and frame a consensus policy. The PAC chairman also informed the committee the PAC had recovered Rs 6 billion from different government departments during the last few months.

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