KARACHI: Peoples Unity of PIA Employees has filed a writ petition in Lahore High Court to set aside and declare the tender of In-flight catering of Pakistan International Airlines & its assets as illegal & unlawful in the eyes of law.

General Secretary of the Unity, Rana Muhammad Kashif Shabir through his lawyer Nabeel Javed Kahloon Advocate submitted that the TOR’s were prepared and sent for the processing of the impugned tender for the hiring of PIA In-Flight Catering Services at Islamabad Airport to SCM (SA Compliance to CEO) through mail dated 04/09/2023, whereas it should have been prepared by the User Department (FSD), hence it was prepared in violation to the Organizational Procedure.

In the technical evaluation report GM FSD, raised several objections related to the feasibility of the project and declared it not feasible and not in the interest of PIA, whereas despite several objections tender was approved and floated. Despite objections raised by the Technical evaluation report, impugned Tender notice for the hiring of PIA In-Flight Catering services at Islamabad Airport was issued.

M/s Kitchen Cuisine & Air blue Catering Services submitted their bids, whereas both the bidders were declared technically qualified on 13.09.2023. As per comparative statement, value of the bids received from M/s Air blue Flight Catering was PKR 1,198,295,800, & M/s Kitchen Cuisine quoted PKR 1,328,801,310. Kitchen Cuisine was the higher bidder 10.09.2023. M/s Kitchen Cuisine filed grievance application whereas the application was forwarded to Grievance Review Committee (GRC) on the same date for its decision on 25.10.2023. The Grievance Committee in its meeting declared the time barred application of M/s Kitchen Cuisine as tenable and issued instructions to re-tender the case on 31.10.2023.

As per rules Air Blue being the lowest bidder would have emerged successful and would have been awarded the Contract, but the process was stopped in violation of PPRA rules and decision for re-tendering was given.

The impugned fresh tender was issued at Islamabad Airport on 19.11.2023. The only M/S. Kitchen Cuisine participated in the tender & the same was declared qualified & its bid was accepted. The acceptance of the bid offered is not tangible neither feasible for the interest of the Airline, as previously the department of Finance issue a comprehensive report on the flight Kitchen of the Airline, where it was observed that, the outsourcing of the flight kitchen would bring financial loss to the Airline.

The finance department of the Airline clearly mentioned that, the total cost the Airline including all service charges will be Rs.1,048,000,000 /- per annum, whereas now it will be Rs.1,610,904, 098/- per annum. The cost of the respondent is around Rs. 570,000,000/- more than the actual of the airlines itself, hence awarding tender in favor of the respondent is not warranted under the law and in grave violation to the interest of the Airline.

The Airlines is run by the Tax money of the public hence, throwing away the assets of the Airline are discouraged under the Constitution of Pakistan. The awarding of tender to Flight Kitchen is based on malafide basis, whereas awarding tender will cost the Airline more and will bring financial dames to the Airline.

Published in The Daily National Courier, March, 04 2024

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