Ex-PIA MD arrested for 'misusing authority'

The Federal Investigation Authority's (FIA) Corporate Crime Circle arrested former Pakistan International Airlines (PIA) managing director (MD) Ijaz Haroon and former human resources director Hanif Pathan in Karachi on Saturday.

According to FIA deputy director Abdur Rauf Shaikh, the former PIA officials had been arrested for their alleged misuse of authority in appointing former PIA deputy MD Saleem Siani and violating the PIA Act and rules for appointment and advertisement.

He said that the arrested former officials had approved a salary of $20,000 for Siani, with an annual increment of seven per cent along with a commission for engineering work for PIA. Siani was also accommodated in a five-star hotel for three months.

Shaikh claimed that the rent for Siani's family residence in Dubai and an insurance policy worth $1 million was also purchased for him through the PIA's accounts.

He further said that the suspects had approved a clause for the payment of three months' salaries upon the contract's cancellation as well as $50,000 for his reallocation in Dubai or the United States.

The FIA official added that the role of other officials in this matter was also being investigated.