PIA sell-off: govt told to hear objections

LHC directs secretary privatisation to decide matter after meeting petitioner

LAHORE:

The Lahore High Court (LHC) has issued a written order on a constitutional petition challenging the privatisation of the Pakistan International Airlines (PIA). It has directed the secretary privatisation to decide the matter after meeting the petitioner.

Justice Malik Muhammad Awais Khalid released a three-page written decision on Friday.

The court ordered the secretary to make a decision after hearing all relevant issues and submit a written response before the LHC deputy registrar within two weeks of receiving the certified copy of the court order.

The petition was filed by Advocate Nabeel Kahlon, challenging the government's plan to sell 75 percent shares of the PIA, declaring it unconstitutional. The petitioner argued that the PIA's assets were undervalued, stating that the airline's aircraft alone are worth more than Rs460 billion.

The plea maintained that privatisation without approval from the Council of Common Interests (CCI) violates the Constitution, adding that the government misrepresented PIA's financial position.

It was also argued that the privatisation process without proper valuation breaches the PIA Act 2016. The petitioner requested the court to suspend the privatisation process.

On December 23, 2025, the government sold its 75% stakes in the PIA for Rs10.1 billion cash to business tycoon Arif Habib-led consortium, marking the completion of the first major privatisation transaction in two decades by offloading the white elephant.

The consortium of Arif Habib, Fawad Ahmed Mukhtar, Gohar Ejaz and Aqeel Karim Dhedhi — Pakistan's renowned businesspersons — placed the highest bid of Rs135 billion for the 75% shares in the 13th round of open auction. It beat another cash-rich consortium led Muhammad Ali Tabba.

The Air Blue was disqualified for the open bidding after it offered Rs26.5 billion, which was nearly three-fourth less than the minimum price of Rs100 billion.