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FIA files case against former PIA CEO for illegal appointment

Faraz Ahmed by Faraz Ahmed
December 1, 2020
pia

ISLAMABAD: Federal Investigation Agency (FIA) has lodged a case against two former officers of the Pakistan International Airlines (PIA) for causing a loss of Rs5.2 million to the national airline.

FIA Corporate Crime Crime filed the case against two foreign citizens including former PIA CEO Bernd Hildenbrand who is a German citizen. He is on the run ever since he left the country in June 2017 after being involved in the lease of two A330 aircraft used by the airline.

Another case has been registered against PIA’s former adviser Helmut Bechhofner who is an Austrian citizen. The former CEO is also accused of hiring him in violation of rules. The illegal appointment allegedly caused a loss of Rs5.2 million to the national airline. The Austrian citizen was hired in 2016 for three months as the CEO’s adviser. The FIA said that further investigation is underway.

“The illegal appointment of Austrian national, Helmut Bechhofner caused a loss of $50,203 (equivalent to Rs5,256,254) to national exchequer,” said a statement. “It has been established that the accused German national by abusing his official position as acting CEO of PIA, unlawfully app­ointed the accused Austrian national as consultant in the PIA without the approval of competent authority.”

The case was registered under Section 5(2) of the Prevention of Corruption Act 1947 read with Sections 109 (abetment) and 409 (criminal breach of trust by public servant, or by banker, merchant or agent) of the Pakistan Penal Code.

Earlier in October, the FIA has arrested the former managing director of PIA Ijaz Haroon and ex-director of PIA human resource department Hanif Pathan in an illegal appointment case.

The FIA Corporate Crime Circle Karachi has arrested the senior officers over the illegal appointment of Salim Sayani as Deputy Managing Director (DMD) of the national carrier in 2009 in violation of the regulations defined for recruitments.

According to FIA officials, Salim Sayani, a Pakistani-origin USA national, had been appointed on a salary of $20,000 per month besides other perks and privileges including medical coverage, a 5-star hotel room for three months and family accommodation in Dubai over the expenses of PIA.

Tags: Bernd HildenbrandCEOFIAPIA
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