PIA distributes worth Rs353.5m discounted tickets to agents despite financial woes

Author: Agencies

Pakistan International Airline (PIA) has been suffering from a loss of billions but the national airline awarded discounted tickets worth Rs353 million to various agents. As per the audit documents available with the media, PIA administration offered discounted rates on 2620 tickets and offered 50 percent, 75 percent, 90 percent and 100 percent discounts. As per the documents, rented transportation is not an entitlement of agents. It is discretion of the airline only on commercial consideration. Rebated transportation should be granted against written requests only duly signed by authorized persons. During an audit of Pakistan International Airlines Corporation, Revenue Management Department for the year 2020, it was observed that the management allowed 2,520 tickets to various agents at discount amounting to Rs353.517 million. An Auditor General of Pakistan also objected to the provision of discounted tickets to the agents. The audit on the provision of concessional tickets is part of the para-audit report for 2021-22.

“Agents are not allowed to discount tickets without a written request,” according to Airline Industry Affairs auditors. An audit report said despite financial woes, airline’s issuance of discount tickets appears to reward favored agents. In 2022, airlines set agents to issue IATA-compliant 50 and 75 percent discount tickets. The DAC directed the management to the position verified from audit. Audit recommended implementation of the DAC directives.

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