PIA blues III: Obscure vendors keep the planes grounded

Insiders concerned about PIA’s recent appointment of a little-known vendor for procurement of spare parts.


Maria Waqar October 05, 2011

KARACHI:


On September 28, news reports revealed that 10 Pakistan International Airlines (PIA) aircraft, out of a fleet of 39, were grounded allegedly due to technical faults, lending credence to claims of poor upkeep of the fleet.


Retired flight engineer Saleem Irshad* claims that technical issues in PIA’s fleet are related to the airline’s decision to outsource contracts for procurement of spare parts to substandard companies.

“Maintenance of an airline is directly dependent on its inventory of spare parts and selection of multiple vendors recommended by aircraft manufacturers,” says Irshad. “However, PIA tends to sublet dubious companies with no international credibility for maintaining its fleet.”

He claims that top PIA officials have a financial stake in these vending companies, which aids pilferage of revenues from the airline.

According to Irshad, the technical snags which led to the European Union ban on most of PIA’s aircraft in 2007, was because an obscure vendor in United Kingdom was hired for procuring spare parts.

Repeating the ‘mistake’

Sources within PIA are concerned that the airline on September 24 hired Transworld Aviation FZE, a little-known company located in Dubai, as its exclusive vendor for a period of five years for procurement of spare parts, maintenance repair overhaul and purchase of consumable materials and chemicals.

Society of Aircraft Engineers of Pakistan (SAEP) expressed its reservations about this development in a letter dated September 19, addressing the Managing Director of PIA, Nadeem Yousafzai.

Some of SAEP’s concerns highlighted in the letter were the Dubai-based firm’s inexperience in handling commercial airlines, its limited set-up and lack of inventory of airline spare parts. “Giving the tender to a company with no international reputation in handling airline logistics is a big gamble,” claimed an insider.

Malfunctioning toilet doors

PIA’s newly appointed spokesperson Syed Sultan Hassan, however, disagrees with all these claims.

“There are no maintenance issues,” he says categorically. “There are 160 PIA flights which take off and land daily; it’s not a big deal if one or two of them experience some minor technical difficulty.”

Regarding the 10 grounded planes, he says “they were not grounded because of technical issues but in fact they were being serviced for the hajj operations.”

Hassan also dismissed majority of the defects recently detected by Safety Assessment of Foreign Aircraft Programme (SAFA) in PIA’s A-310 plane in France. “A malfunctioning toilet door is not considered a major technical fault.”

Regarding procurement of spare parts, the spokesperson said, “PIA has tried to further streamline its supply chain by choosing the best vendor, Transworld Aviation FZE, after floating a tender in the international market.”

“This company will provide $700 million in credit facility to PIA for 90 days,” he adds. “Such a large credit facility attests to PIA’s good international standing and creditworthiness.”

*names have been changed

Published in The Express Tribune, October 5th, 2011.

COMMENTS (5)

Sana Iqbal | 12 years ago | Reply

“A malfunctioning toilet door is not considered a major technical fault.” Of course Hassan Sahab! After all what do french know about aircraft and technical faults!

Shahzad | 12 years ago | Reply

You have hit the nail on its head and exposed the massive corruption within PIA Stores & Procurement and outsourcing of Maintenance Repair Overhaul to companies without any credibility or experience. Airlines all over the world maintain their own inventory of spares and rely upon vendors located on the network to provide them backup support if an aircraft is stuck on ground at any of their international destinations. Here PIA is handing over its own inventory to this fake company located in Dubai, with absolutely no experience handling any airline of repute.. This is exactly what was done by Ahmed Saeed and Tariq Kirmani, when they appointed another dubious company in a remote part of UK, and handed all their inventory to it. Delays in rectification resulted in a ban imposed on PIA's fleet, excluding B777, and now the same criminal mistake is being repeated. Individuals within PIA and the government must have made millions of dollars, but PIA will may face a crisis that may seal its fate. The Director Procurement and his boss, including the DMD who is on contract and is on payrolls of General Electrics MRO division, shoild be taken to task, BUT WHO WILL BELL THE CAT?---certainly not those in power. Perhaps the SC ---.

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