KARACHI, Pakistan (AP) — A jetliner carrying 98 people crashed yesterday in a cro wded neighbourhood near the airport in Pakistan's port city of Karachi after an apparent engine failure during landing.

It was unknown how many people on the ground were hurt as the Pakistan International Airlines (PIA) jet, an Airbus A320, plowed into an alley and destroyed at least five houses.

The pilot was heard transmitting a mayday to the tower shortly before the crash of Flight 8303, which was flying from Lahore to Karachi and carrying many travelling for the Muslim holiday of Eid al-Fitr.

The plane went down about 2:39 pm (Pakistan time) north-east of Jinnah International Airport in the poor and congested residential area known as Model Colony between houses that were smashed by its wings.

Pakistan's civil aviation authority said the plane had 91 passengers and a crew of seven.