KARACHI: The Federal Board of Revenue (FBR) has frozen all bank accounts of Pakistan International Airlines (PIA) for non-payment of taxes, sources told JEE News on Wednesday night.
In recent years, mismanagement of funds, rising operating costs, and rising fuel prices have led to financial difficulties for the national carrier.
PIA has also faced scrutiny over its compliance with international safety standards, resulting in temporary restrictions and bans on Pakistani airlines in various countries.
The national flag carrier, in response, claimed that its flights continued uninterrupted despite the tax bureau freezing its accounts.
Sources told JEE News otherwise that several domestic and international flights were either canceled or delayed.
FBR sources said the PIA did not, despite the federal excise duty of Rs 4 billion it collected through ship tickers.
After all bank accounts were frozen, PIA faced difficulty in paying for its jet fuel as Pakistan State Oil (PSO) refused to supply it, according to sources.
As the national carrier was not able to secure fuel in time, sources said several flights were either canceled or delayed:
- PK-370 — Karachi to Islamabad
- PK-306 — Karachi to Lahore
- PK-350 — Karachi to Peshawar
- PK-310 — Karachi to Quetta
- PK-302 — Karachi to Bahawalpur, Lahore
- PK-309 — Islamabad to Karachi
- PK-330 — Karachi to Islamabad
- PK-739 — Multan to Jeddah
- Rahim Yar Khan from Karachi
In response, a PIA spokesperson told JEE News that the airline has approached the government to persuade the tax body to unfreeze its accounts.
All air operations continued [despite the disruption], the spokesman said.
