LHC admits plea challenging PIA’s privatisation

RAWALPINDI: The Lahore High Court’s (LHC) Rawalpindi bench has admitted a petition challenging PIA’s privatisation process and also asked the top law officer to respond to the questions raised in the plea.

Justice Jawad Hassan issued the order on Friday on a pro bono petition filed against the procedure adopted to privatise PIA.

The judge also expressed his intention to examine the law introduced by the previous caretaker government to set up an appellate tribunal for privatisation disputes.

The petition stated that the government issued an advertisement to privatise the national carrier without properly evaluating its local and foreign assets as required under the Privati­sation Commission Ordinance, 2000.

When the judge questioned the petitioner’s counsel over the plea’s maintainability, he argued the requirements in Section 23 of the Privatisation Commission Ordinance, 2000 have not been met.

While proceeding with the privatisation process, principles already settled by the Supreme Court were also ignored, he argued, adding that the bench could take up this case.

Justice Hassan recalled a judgement authored by Justice Syed Man­soor Ali Shah in a case titled ‘Arshad Waheed versus Province of Punjab and others’ where he detailed the high court’s powers in such matters.

According to Justice Hassan under Article 199 (jurisdiction of the high court) of the Constitution, the high court is empowered to examine administrative actions from the touchstone of violation of law and breach of the Cons­titution. He, however, added that the power of judicial review is regulated by the principle of judicial restraint.

“[J]udicial restraint encourages the judges to exercise their powers with restraint and wisdom and to limit the exercise of their own powers to intervene in the matters relating to [the] policy of the Statutory Bodies/Board having financial perspective and outcome and exercise.”

The petitioner’s counsel argued that his client is only challenging PIA’s privatisation process because the mandatory requirement of advertisement, as given in Section 23 (advertisement of privatisation) of the Privatisation Commission Ordinance, 2000, has not been fulfilled.

He also drew attention towards the amendment introduced by the caretaker government in Section 28 of the Privatisation Commission (Amend­ment) Ordinance, 2023, whereby an appellate tribunal was constituted.

He stated that there is no need for any such tribunal when the high court is empowered to hear such cases.

The court order said that cases regarding PIA’s privatisation are already pending before the Sindh High Court (SHC) and also argued before a single-member LHC bench.

But on the criteria laid down by the SHC in the case of the KESC Labour Union and the fact that certain provisions of the Pakistan International Airlines Corporation (Conversion) Act, 2016 needed to be interpreted, “subject to maintainability of this petition notice be issued to the Respondents,” said the court order.

The court also directed the law officer to seek instructions from the relevant authorities and ensure that para-wise comments are submitted by the respondents in four weeks.

The court also issued notice to the at­­torney general to respond to legal qu­­es­tions raised in this petition and adj­ou­r­ned further hearing till September 12.

Published in Dawn, June 29th, 2024