Though FIA has arrested an official allegedly involved in the embezzlement of millions of rupees in procurement and logistic department of PIA and some other officers are under investigation but pilferage is not completely ended from the department, said sources in the national flag carrier. They said that FIA had arrested Deputy General Manager Procurement and Logistics Department Shahid Ejaz a couple of months back and former Director Corporate Planning, Rasheed-ul-Hassan and other senior officers were also being questioned but irregularities are continued in procurement and logistic department Karachi. Sources said that several contracts like canteens, transport, flight kitchen, janitorial, garbage etc were pending for the last many years. No new contract was being signed. Local purchases were being encouraged due to commission and kickbacks. Food services are also poor due to non-availability of certain items like tissue boxes, toilet soaps, paper cups and poor quality of cutlery.

It is worth mentioning here that Shahid Ijaz was accused of having embezzled millions of rupees during the procurement of spare parts for different aircrafts. The Procurement and Logistics department procure spare parts worth billions of rupees annually as the procurement volume stood at Rs6.74 billion in 2013.

On Shujaat Azeem’s request, Air Chief Marshal Tahir Rafique Butt has released five officers to streamline the process of procurement and logistics in PIA. The team, brought in from the PAF, is headed by an Air Commodore with experience in logistics, material management and inventory control. Azeem has directed PIA management that spare parts shall be procured on merit with transparency and only through Original Equipment Manufacturers. Furthermore, enterprise resource planning is being implemented all across the organisation including the procurement function.

An officer of PIA said that several complaints were received by the management from vendors against procurement policy but management remained unmoved. FIA was also investigating a contractor of PIA in this regard.  When contacted, spokesman of PIA said that FIA was investigating into the issues of PIA.

He said that FIA was also looking into the issue regarding purchase of five Boeing planes for which payment was also made. Responding about the pending contract he said that some contracts were extendable.