NAC not to terminate A320 engine maintenance contract process

The Public Accounts Committee (PAC) of Federal Parliament has instructed the national flag carrier Nepal Airlines Corporation (NAC) not to terminate the process of appointing Company for the maintenance of A320 engines.

The committee meeting held on Monday at Singha Durbar has advised NAC to end the tender process and announce the re-tender in accordance to the previous tender which is the public procurement act. The previous tender is reasonable so, NAC is instructed to expedite the same tender process, says officials from the PAC.

Earlier, PAC directed NAC to halt the tender process after doubting the probability of scandal during the procurement processes. PAC had also instructed the corporation to allow the participation of Lufthansa Company which had tendered with cheap price proposal.

NAC however removed the tender from Lufthansa citing the company to be ineffective. After investigation from PAC, the national flag carrier is warned not to end the tender process with Lufthansa because the tender of the company’s engine maintenance is in accordance to the public procurement act.

Members from PAC showed concern in the meeting as the decision from NAC could bring huge loss to the nation. The highly placed officials of NAC are responsible for degrading the national flag carrier, reports PAC.

Officials from PAC are furious on NAC’s decision to halt the contract with the company which has proposed reasonable price for engine maintenance.

At present, every steps taken by the national flag carrier have been flagged which has been creating a shameful situation. PAC has said to strictly monitor the corporation now onward.

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