ISLAMABAD: The Pakistan Tehreek-e-Insaf (PTI) government takes importantdecision over PIA’s Roosevelt Hotel in New York.
PTI government has approved to give on long-term lease PakistanInternational Airline’s Roosevelt Hotel in New York. In a meeting of theNational Assembly’s Standing Committee on Privatisation held on Wednesday,it was informed that the federal government, on the recommendation of theprivatisation committee, has decided to lease the said hotel.
The committee was surprised to know that the cabinet had made this decision“on a one-line paragraph summary” forwarded by the privatisation committee.
It was also surprised to know that the PIA Investments Limited (PIAIL),which owns the hotel in New York, was registered in British Virgin Island.
Interestingly, during the meeting, a consultant hired for privatisationinformed the committee that the federal cabinet had already approved asummary regarding the “privatisation” of Roosevelt Hotel.
However, Privatisation Minister Muhammadmian Soomro clarified said that thehotel was being given on long-term lease and was not being privatised. “Theamount that would be received as a result this step would be spent on therevamping of PIA.”
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He also claimed that unlike the impression, the hotel was not makingprofits for the past few years.
“Selling the hotel in New York will cost a lot in taxes, therefore, theministry is considering a proposal to operate the hotel through a jointventure or leasing it out on a long-term basis.”
He continued, “We are not selling the Roosevelt Hotel. Its location is veryimportant, but its income is declining. Leasing out the property is thebest option for Pakistan,” the minister said.
