Govt calls high-level meet on FEMA notice to Pak airline

The government has convened a high -level meeting of finance and security officials in order to chart the next course of action in the case of alleged foreign exchange violations in purchase of properties here by Pakistan's national airliner PIA.
The meeting has been called by the Finance Ministry next week and it will be attended by officials from RBI, Department of Economic Affairs (DEA), Department of Revenue, Ministry of Home Affairs, Ministry of External Affairs and the Enforcement Directorate (ED).
The ED, last month, had issued a notice under the Foreign Exchange Management Act (FEMA) to the local office of Pakistan International Airlines (PIA) in connection with its purchase of six flats near the tony market area of Connaught Place in central Delhi.

"The meeting will discuss the legal position and the future course of action after the ED issued a FEMA notice to the neighbouring country's national airline. The case is not a regular one as it has assumed diplomatic overtones," sources privy to the development said.
They said local PIA officials had last week met the ED investigators in reply to the summons and put forth their official position on the purchase of the flats situated on the 5th-6th floors of 'Narayan Manzil' in Barakhamba Road area.
The case dates back to 2005 when the Pakistani carrier, which operates two flights a week on the Delhi-Lahore sector and once a week on the Mumbai-Karachi sector, purchased these immovable assets as part of its logistical requirements for its operations in India.