The Competition Commission of Pakistan (CCP) successfully recovered a Rs1 crore penalty from PIA for excessive Haj fares charged in 2008 by attaching the airline's bank accounts. The case, which involved PIA drastically increasing fares and violating competition laws, faced legal delays for years before CCP enforced the recovery.
The Competition Commission of Pakistan (CCP) has recovered a long-pending fine of Rs10 million from Pakistan International Airlines (PIA), nearly 16 years after it was first imposed for unfair pricing practices.
According to CCP officials, the recovery was made by freezing PIA’s bank account after the airline repeatedly failed to comply with a penalty order issued in 2009. The fine had been levied in response to an 80 percent hike in Hajj fares in 2008, which the commission ruled as exploitative and anti-competitive.
PIA had contested the CCP’s order in court and initially obtained a stay, which delayed enforcement of the penalty. The matter was later referred by the Supreme Court to the Competition Appellate Tribunal for further proceedings.
However, the Tribunal eventually dismissed PIA’s appeal after the airline’s legal representatives repeatedly failed to appear and pursue the case. With the appeal dismissed, the CCP moved quickly to recover the fine by freezing the airline’s bank account.
Officials stated that the recovery represents a major milestone in the enforcement of competition laws in Pakistan and sets an important precedent for ensuring that even powerful institutions are held accountable for market manipulation.
- 2008: Media reports revealed that PIA had sharply increased Haj ticket prices by over 80%.
- CCP Ruling: The Competition Commission of Pakistan ruled this action as a violation of competition laws.
- Fine Imposed: A Rs10 million token fine was imposed on PIA.
- Legal Delays: The recovery of the fine was delayed by legal proceedings for a prolonged period.
- Bank Account Attachment: CCP eventually enforced the recovery by attaching PIA's bank accounts.
- The fine was successfully recovered by the CCP from PIA in April 2025, bringing the long-standing case to a close.
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