The ECC showed its concern about the violation of loan terms. The economic decision-making body gave directives that PIA Investment Limited, the holding company of PIA, should immediately comply with the loan terms including the conditions related to the “lock box”. PIA management told the committee that until now Roosevelt Hotel had utilised $134 million out of the loan amount. The need for settling pension fund withdrawal liabilities had arisen due to the closure of the hotel in December 2000. The pension liability has now been deferred post-settlement agreement dated May 10, 2023 between Roosevelt Hotel and the employees union.

Source: The Express Tribune June 08, 2024 15:50 UTC