Pakistan approves $10 million to clear financial liabilities of New York’s Roosevelt Hotel

The entrance of the Roosevelt Hotel, a historic luxury hotel in Midtown Manhattan, is seen in New York on October 12, 2020. (AFP)
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Updated 31 August 2021
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Pakistan approves $10 million to clear financial liabilities of New York’s Roosevelt Hotel

  • Inaugurated in 1924, the hotel was bought by the Pakistan International Airlines in 1999
  • The Roosevelt Hotel remained operational for about 95 years before permanently shutting its door in October last year

KARACHI: The government on Tuesday allowed the Pakistan International Airlines Investment Limited (PIA-IL) to utilize $10 million and clear the financial liabilities of the Roosevelt Hotel Corporation in New York.

The Economic Coordination Committee (ECC) approved a summery presented by the Aviation Division, requesting for the provision of funds to meet the hotel’s liabilities that include payments of local taxes and utilities.
The hotel was inaugurated in Manhattan on September 22, 1924. Named after the 26th President of the United States, Theodore Roosevelt, Pakistan’s national air carrier leased it in 1979 through PIA Investments Limited.
Saudi Prince Faisal bin Khalid bin Abdulaziz Al Saud was also one of the investors in the 1979 investment deal, though the airline decided to buy the hotel for $36.5 million in 1999 and later struck a deal with its Saudi partner in 2005 to buy his share in the property as well.
“The PIA-IL requested the ECC to utilize $10 million available with the National Bank of Pakistan to clear the immediate financial liabilities [of the Roosevelt Hotel],” the finance ministry said in statement issued after the ECC meeting in Islamabad.
“After due deliberation, the ECC approved the summary with a direction to exercise due diligence in meeting emergent liabilities and submit the utilization report before the forum regarding the funding support by the government,” the statement added.
The committee also directed the PIA-IL to engage a world class consultant to meet the financial and operational challenges faced by the hotel in New York.
The Roosevelt Hotel permanently closed its door on October 31, 2020, after remaining operational since 1924.
The ECC also approved $142 million for the PIA-IL last year to meet the hotel’s financial challenges.
It allowed to release $17.3 million in June for the payment of recurring as well as one-off liabilities accumulated by the hotel before approving $10 million more on Tuesday.


Pakistan expresses solidarity with Australia as gunmen kill at least 12 in Bondi Beach shooting

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Pakistan expresses solidarity with Australia as gunmen kill at least 12 in Bondi Beach shooting

  • Gunmen targeted people gathered at Sydney’s famous Bondi Beach to celebrate Jewish Hannukah festival
  • Pakistan, itself a victim of “terrorism,” condemns violence against innocent civilians, says President Zardari

ISLAMABAD: Pakistan’s President Asif Ali Zardari expressed solidarity with Australia on Sunday as gunmen killed at least 12 people and wounded a dozen others in the Bondi Beach shooting that targeted the Jewish community in the country. 

New South Wales (NSW) police said two people had been taken into custody, and the Australian Broadcasting Corp. said one of at least two gunmen was among those killed. Around a dozen people were taken to local hospitals after the shooting, an NSW ambulance spokesperson said.

The attackers targeted a large group gathered at the northern end of Sydney’s Bondi Beach, near or at Bondi Park playground, as per news reports, when the attack happened. Gunmen attacked people who were there to celebrate an event related to the Jewish festival of Hannukah. 

“President Asif Ali Zardari has expressed sorrow over the tragic shooting in Sydney, conveyed condolences to the victims’ families & wished the injured a speedy recovery,” the president of Pakistan’s official account on X wrote. 

“Pakistan itself a victim of terrorism, stands in solidarity with & condemns violence against innocent civilians.”

Prime Minister Shehbaz Sharif also condemned the Sydney attack, expressing condolences with victims of the incident. 

“Pakistan condemns terrorism in all its forms and manifestations,” he wrote on X. 

As per international media reports, one of the gunmen has been identified as Naveed Akram from Bonnyrigg in Sydney’s southwest. His country of origin remains unclear. 

One of the world’s most famous beaches, Bondi is typically crowded with locals and tourists, especially on warm weekend evenings.

Videos circulating on X appeared to show people on the beach and nearby park scattering as multiple gunshots and police sirens could be heard. One video showed a man dressed in a black shirt firing a large weapon before being tackled by a man in a white T-shirt who wrestled his weapon off him. A different man was seen firing a weapon from a pedestrian bridge.

Another video showed two men pressed onto the ground by uniformed police on a small pedestrian bridge. Officers could be seen trying to resuscitate one of the men. Reuters could not immediately verify the footage.

The attack came almost exactly 11 years after a lone gunman took 18 people hostage at the Lindt Cafe in Sydney. Two hostages and the gunman were killed after a 16-hour standoff.