LHC Petition Challenges PIA Privatisation Deal

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LAHORE: A constitutional petition has been filed in the Lahore High Court challenging the recent privatisation of Pakistan International Airlines, raising serious legal and constitutional questions about the sale of the national carrier. The petition, submitted by Advocate Nabeel Javed Kahloon, seeks to have the transaction declared illegal and set aside in its entirety.

The case challenges the Cabinet Committee on Privatisation’s decision to approve a Rs135 billion bid by a consortium led by the Arif Habib Group for a 75 percent stake in PIA. While the bid was around 35 percent higher than the government’s reference price, the petitioner argues that the process itself was flawed and violated the Pakistan International Airlines Corporation Conversion Act 2016. He maintains that the Expression of Interest issued in May 2025 and the final sale concluded on December 23 were unlawful.

The petitioner contends that PIA is a trans provincial institution listed in the Federal Legislative List and could not be privatised without prior approval from the Council of Common Interests and Parliament. He further argues that public funds worth hundreds of billions have been invested in the airline over decades, making its sale a matter of national interest. The petition asks the court to suspend the deal, halt further actions, and ensure any restructuring remains within state controlled entities.

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