Malaysian authorities impound PIA airplane over payment dispute

 

Malaysian authorities impound PIA airplane over payment dispute

A Pakistan International Airlines (PIA) plane was impounded by Malaysian authorities over a lease payment dispute and is now parked at Kuala Lumpur International airport.

AP-BMH (msn 32717) had operated a scheduled passenger service into the Malaysian capital from Islamabad International airport on May 29 when authorities stepped in to seize it.

PIA leases the plane from AerCap, and it is owned by a special purpose vehicle called Peregrine Aviation Charlie Limited (Peregrine).

In turn, Peregrine is owned by NCB Capital, the investment arm of the Saudi Arabia-based National Commercial Bank, and has over USD50 billion in assets under management.

PIA also has a second B777-200ER on lease from AerCap from the same batch.

In late 2020, the lessor filed a suit against PIA in the High Court of Justice in London, saying Pakistan’s national carrier owed it approximately USD14 million in overdue lease payments. It secured an ex-parte injunction to repossess both planes. Subsequently, Malaysia Airports Holdings Berhad stopped AP-BMH from leaving after it landed at Kuala Lumpur in March 2021. After two weeks of negotiations, the parties reached a settlement, and the aircraft was released.

This time, AerCap reportedly secured an impound order from a Malaysian court and says PIA owes it approximately USD4 million in overdue lease payments for AP-BMH.

PIA has confirmed the claim but says the amount it owes is around USD1.8 million.  

Source: https://www.ch-aviation.com/

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