Al-Qadir Trust Case: Imran Khan Stopped Cabinet Members For Deliberations For Approval Of Repatriation of GBP ...

Large amounts of money from foreign accounts were repatriated and adjusted as an installment on behalf of Malik Riaz before cabinet approval.

Al-Qadir Trust Case: Imran Khan Stopped Cabinet Members For Deliberations For Approval Of Repatriation of GBP 190 million

ISLAMABAD: The funds from the foreign bank accounts, previously frozen through the Account Freezing Orders (AFOs) were diverted and adjusted as an installment in an account, in the name of the Registrar Supreme Court designated for the payment of land by Bahria Town Karachi, even before the Cabinet Meeting on December 3, 2019, revealed Al-Qadir Trust Reference filed by National Accountability Bureau (NAB) before Accountability Court. 

It is further revealed that then PM Imran Khan, during the cabinet meeting, intervened to grant approval without further discussion when the members wanted to discuss the agenda. The repatriation of funds and its adjustment was also concealed from Federal Board of Revenue (FBR), NAB, Federal Investigation Agency (FIA) and State Bank of Pakistan (SBP), the document revealed.

The Al-Qadir Trust Reference of 190 million pounds corruption contains damning connivances of former Prime Minister (PM) Imran Khan, his wife and the close aides including the ‘crucial roles’ of former advisor to PM on accountability and interior, former Special Assistant and Farhat Shahzadi.

According to the Al-Qadir Trust Reference, a copy of which is available with The Friday Times, the NAB has made a total of 8 accused persons in Al-Qadir Trust case, known as GBP 190 million scandal. These 8 accused persons include former Prime Minister (PM) Imran Khan, his wife and trustee Bushra Bibi and her closed aide Farhat Shahzadi. 

Similarly the accused persons also include Ex-Chairman Asset Recovery Unit (ARU) Mirza Shehzad Akbar, who also held the portfolio of Advisor to PM on Accountability and Interior, and former Special Assitant to PM on Overseas Pakistanis and Human Resource Development Syed Zulfiqar Bukhari because he was a trustee of Al-Qadir Trust.

Likewise, Ex-Expert on International Law ARU Ziaul Mustafa Nasim, business tycoon Malik Riaz and Ahmed Riaz Malik have also been included in the Al-Qadir Trust Reference as accused persons. 

According to the Reference, it was transpired to NAB during the investigation that Shahzad Akbar presented a note to then PM Imran Khan on December 2, 2019. The note revealed that District Judge at Westminster Magistrate's Court under Proceeds of Crime Act 2002 granted Account Freezing Order (AFO) on December 14, 2018 on an application moved by the UK’s National Crime Agency (NCA) 

The said AFO was related to £20 Million GBP approx. owned by the Riaz Family. On 12 August 2019, the NCA obtained further eight AFOS in relation to £119.7 Million GBP held in the accounts of members of the Riaz Family. The NCA's investigation also included 1 Hyde Park Palace, London, a prime London property valued at approximately £50 Million GBP. The combined total value thus amounted to £190 Million GBP.

According to the reference, in April 2019 Malik Riaz’s Bahria Town (Pvt.) Ltd. extended illegal monetary benefit to the PM Imran Khan in the shape of land measuring 458 Kanals 04 Marlas 58 sq. ft., through Zulfiqar Abbas Bukhari and the land was disguised under the garb of donation to Al-Qadir University Project Trust. 

Imran Khan was the settlor/founder of Al-Qadir University Project Trust and his wife Bushra Bibi was the trustee. 

“The evidence collected during investigation further established that when the said monetary benefit was extended to Accused No.1, Imran Ahmed Khan Niazi, neither the trust nor the university were in existence at that time. In return, accused No, 3, Malik Riaz Hussain became the sole beneficiary of the £171.159 million out of £190 Million GBP repatriated so far, meant to be returned to the State of Pakistan,” the reference filed before accountability court stated. 

“In order to give a cover to the dishonest and malicious adjustment of the £171.159 Million GBP against the amount owed by accused No. 3, Malik Riaz Hussain, and the illegal extension of the monetary benefit to accused No. 1, Imran Ahmed Khan Niazi, Accused No. 2, Mirza Shahzad Akbar, in connivance and with active knowledge of accused No. 1, Imran Ahmed Khan Niazi, malafidely floated to Accused No.1, Imran Ahmed Khan Niazi, a note dated 2.12.2019.” 

“The note contained misrepresented information, implying that funds frozen in the UK were to be surrendered to Pakistan against a non-existent liability, mischaracterizing a land purchase agreement as a fine, and knowingly misrepresented that a Supreme Court account was being operated for the benefit of the State of Pakistan.” 

The accountability watchdog maintains that Imran Khan approved the note in violation of the Rules of Business, 1973. 

“On December 3, 2019, the note was subsequently presented in an in-camera Cabinet Meeting, leading to the Cabinet's approval of paragraph 10 of the note and the sealing of the document based on the Cabinet's decision.” 

“Accused No. 2, Mirza Shahzad Akbar, in connivance with accused No. 1, Imran Ahmed Khan Niazi, the then Prime Minister, had already dishonestly and for ulterior motives signed and submitted a Deed of Confidentiality to the UK's NCA on behalf of the Government of Pakistan on November 6, 2019, prior to the Cabinet Meeting of December 3, 2019.” 

Here comes Barrister Zia ul Mustafa Nasim, another character, who being expert on International Law, dishonestly signed the Confidentiality deed as a witness. 

“The designated account mentioned in the Deed of Confidentiality was the account of the Registrar, Supreme Court of Pakistan, with IBAN no. PK20NBPA0474004151238163, intended for the payment of land owned by Bahria Town Limited Karachi, as per the Supreme Court's decision,” stated the reference while citing the top court’s judgment on Bahria Town Karachi wherein the company was directed to pay Rs. 460 billion.

“Consequently, the funds from the foreign bank accounts, previously frozen through the AFOs by the NCA, were repatriated to this account before the Cabinet Meeting on December 3, 2019, instead of getting repatriated to the State of Pakistan.”

The record revealed that approximately 458 Kanals of land were acquired/purchased by Malik Riaz Hussain in April 2019 and transferred to Syed Zulfiqar Abbas Bukhari. 

The investigation also revealed that land initially transferred to Al-Qadir Trust University through Zulfi Bukhari in April 2019 was later transferred to Al-Qadir University Project Trust through attorney Talib Hussain on January 22, 2021. 

“As per the Transfer, the land was purchased by Bahria Town (Pvt.) Ltd. and temporarily donated in the name of the Transferor, who held it as a custodian for the proposed trust, which did not exist at that time.”

“As a result of the undue favor extended to him by accused No. 1, Imran Ahmed Khan Niazi, in addition the transfer of land, accused No. 3, Malik Riaz Hussain, the CEO/Director of Bahria Town (Pvt.) Ltd., also transferred an amount of Rs. 285,000,000 into the accounts of the Al Qadir University Project Trust.”

“Furthermore, he (Malik Riaz) financed the construction of the Al Qadir University Trust Project's building, assessed at a value of Rs. 284,032,000. Additionally, he provided various items, including furniture and fittings worth Rs. 5,149,000, and computers valued at Rs. 648,500.”

According to NAB, the investigation further established that the allocation of land for the Al-Qadir Trust, along with the promise to construct a university, was made in a quid pro quo arrangement, allowing the adjustment of £171.159 million GBP against the amount owed by Malik Riaz. To obscure the personal benefit to Imran Khan, a trust arrangement was created, the reference stated.  

It added that Imran Khan, the then PM, played a pivotal role in the illicit transfer of funds meant for the State of Pakistan into an account designated for the payment of land by Bahria Town, Karachi, in the name of the Registrar, Supreme Court of Pakistan, ultimately benefiting Accused No. 3, Malik Riaz Hussain. 

“He (Khan) chaired the Cabinet Meeting on 03.12.2019, during which the deed of confidentiality was presented and subsequently approved for signing by Accused No. 2, Mirza Shahzad Akbar.” 

It is evident that he (Khan), in connivance with Accused No. 2, Mirza Shahzad Akbar and other co-accused, misled the Cabinet regarding the prior signing of the Confidentiality Deed and failed to disclose that the funds had already been repatriated and diverted for the payment of land by accused No. 3, Malik Riaz Hussain, thereby benefiting him instead of the State of Pakistan.”

“In this way, instead of getting transferred to the State of Pakistan, Accused No. 3, Malik Riaz Hussain became the sole beneficiary of the entire repatriated amount.” 

“Furthermore, few participants who appeared during investigation revealed that when discussion in the agenda was started by the members, accused no. 1, Imran Ahmed Khan Niazi, chairing the Cabinet Meeting, intervened to grant approval without further discussion upon which the agenda was approved without deliberation owing to confidentiality of the matter.” 

“In exchange for these illegal favors extended to accused No. 3, Malik Riaz Hussain and Bahria Town, through the guise of the Al- Qadir University Project Trust, accused No. 1, Imran Ahmed Khan Niazi obtained material monetary gain, including a so-called donation of  approximately 458 Kanals of land, funds amounting to Rs. 285 million, in-kind contributions to Al Qadir University Project Trust and 240 Kanals of land in Mouza Mohra Noor, Islamabad through front person, accused no. 8, Farhat Shehzadi.”

“Hence, accused No. 1 (Khan) has committed the offences of corruption and corrupt practices as defined under section 9(a) (ii), (iv), (vi) and (xii) of NAO, 1999 punishable under section 10 of NAO, 1999 and Sr. No. 2 of the schedule thereto, making him liable for prosecution. Niazi, a trust arrangement was created.”

“Accused No. 2, Mirza Shahzad Akbar, the former Chairman of ARU and Special Assistant to the Prime Minister (SAPM), played a crucial role, in connivance with accused No. 1, Imran Ahmed Khan Niazi, in the illegal design of the funds, intended for the State of Pakistan, into an account designated for the payment of land by Bahria Town, Karachi, in the name of the Registrar, Supreme Court of Pakistan, ultimately benefiting Accused No. 3, Malik Riaz Hussain. He, in connivance with accused No. 1, and prior to the approval of the Cabinet, dishonestly signed the Confidentiality Deed on 06.11.2019 whereby he malafidely intimated the account to the NCA meant for Bahria Town's liability as the "Designated Account," falsely representing it as the State of Pakistan's account. Furthermore, he, in connivance and with active knowledge of accused No. 1, Imran Ahmed Khan Niazi, malafidely floated to Accused No.1, Imran Ahmed Khan Niazi, a note dated 2.12.2019.” 

“On December 3, 2019, when the note, along with the unsigned deed of confidentiality, was presented in an in-camera Cabinet Meeting, he and accused No. 1, Imran Ahmed Khan Niazi intentionally and malafidely concealed the fact that the Confidentiality Deed was already signed by accused No. 2 on 06.11.2019 and submitted to the NCA.” 

“He (Shahzad), in his capacity as the Chairman of ARU, was the primary individual responsible for  effecting recovery of the unlawful assets abroad and negotiating with the foreign governments, including the NCA/UK. His frequent visits to the UK and meetings with NCA officials underscore his active involvement.” 

“Notably, none of the representatives from FBR, NAB, FIA, and State Bank, who were members of ARU, were kept Informed or involved in the repatriation of funds into the account for Bahria Town's land payment, Instead of the State of Pakistan.” 

“It is established from record that accused Mirza Shahzad Akbar deliberately did not requisition the other designated members from the concerned departments as mandated in TORs of formation of ARU to fulfill his interior motives during the period 2018-2019.”

“This resulted in a colossal loss to the national exchequer amounting to GBP 190 Million, for which he shares joint and several responsibility. Hence, accused No. 2 (Shahzad) has committed the offences of corruption and corrupt practices as defined under section 9(a) (vi) and (xil) read with 9a(l) and (iv) of NAO, 1999 punishable under section 10 of NAO, 1999 and Sr. No. 2 of the schedule thereto.”

“Accused No. 3, Malik Riaz Hussain, in his capacity as the CEO/Director of Bahria Town (Private) Limited, actively aided, abetted and assisted and acted in conspiracy with the co-accused persons for the diversion of funds earmarked for the State of Pakistan into a bank account designated for the payment of Bahria Town Limited Karachi's Rs. 460 billion offer.” 

“This manoeuvre resulted in a substantial loss of GBP 190 Million to the national exchequer. He, being beneficiary from the illegal repatriation of funds from the UK and the subsequent adjustment of these funds into his account maintained by the Registrar, of the Supreme Court, and to reciprocate for the said unlawful favour extended by accused No. 1, Imran Ahmed Khan Niazi, gave material monetary benefits, including the transfer of land, funds amounting to approximately Rs. 285 million, and in-kind contributions to accused No. 1, Imran Ahmed Khan Niazi, under the garb of donations to Al Qadir University Project Trust. Hence, accused No. 3 has committed the offences of corruption and corrupt practices as defined under section 9(a) (ii), (iv) and (xii) read with 9a(vi) of NAO, 1999 punishable under section 10 of NAO, 1999 and Sr. No. 2 of the schedule thereto, making him liable for prosecution.”

Accused No. 4, Zia ul Mustafa Nasim, who served as an expert on International Criminal Laws within the Asset Recovery Unit (ARU), played a significant role in aiding, abetting and assisting accused No. 2, Mirza Shahzad Akbar and acted in conspiracy with the other co- accused persons in the handling of the matter and negotiations with the UK Government and the NCA. 
Nasim’s multiple visits to the UK alongside co-accused Shahzad Akbar to engage with the NCA demonstrated his deep involvement in the proceedings.

Nasim's knowledge of the correspondences between accused No. 2, Mirza Shahzad Akbar and the NCA, as well as his signing of the confidentiality deed as a witness on November 6, 2019, without authority, prior to the Cabinet meeting on December 3, 2019, contributed to the diversion of funds from their intended purpose, the reference stated, adding that this diversion resulted in a significant loss of GBP 190 Million to the national exchequer, for which he shares joint and severe responsibility. 

“Despite being called for investigation, he did not participate and remained at large, failing to provide a plausible defense. The available documentary and oral evidence firmly establishes the involvement of accused No. 4, Zia ul Mustafa Nasim in committing offenses of corruption and corrupt practices as defined under section 9(a) (vi) and (xii) read with 9a(ii) and (iv) of NAO, 1999 punishable under section 10 of NAO, 1999 and Sr. No. 2 of the schedule thereto, making him liable for prosecution.”

Syed Zulfiqar Abbas Bukhari, who served as a Trustee of Al Qadir Trust from December 26, 2019, until April 2020, played a crucial role in aiding and assisting in the commission of the offense, the reference stated. 

“He (Bukhari) ostensibly held land measuring 458 Kanals 04 Marlas 58 sq. ft. of land, through ten mutations, which had been purchased by accused No. 3, Malik Riaz Hussain of Bahria Town for Al Qadir Trust even before the trust's formal creation. This arrangement effectively made him a front man for the accused No. 1 Imran Ahmed Khan Niazi, the former Prime Minister.” 

“During the same period, when the land was being transferred to the name of Al-Qadir Trust through accused No. 5, Zulfiqar Abbas Bukhari, illegal favours were being extended to accused No. 3, Malik Riaz Hussain by accused No. 1, Imran Ahmed Khan Niazi and accused No. 2, Mirza Shahzad Akbar.” 

“Additionally, he was present during the cabinet meeting that approved the transfer of state funds into the account for Bahria Town Pvt. Limited's liability.” 

Bushra Bibi, the reference stated, a Trustee of Al Qadir University Project Trust since its inception, alongside her husband played a significant role in the illegal activities. 

“There is substantial evidence on record indicating that the donation made to the trust by accused No. 3, Malik Riaz Hussain and Bahria Town (Pvt.) Limited actually constitutes an illegal personal gain extended to accused No. 1 Imran Ahmed Khan Niazi in exchange for his favours to accused No. 3, Malik Riaz Hussain.” 

“She, as the spouse of accused No. 1, Imran Ahmed Khan Niazi, acknowledged the receipt of property, pecuniary benefit, and other valuable items from accused No. 3, Malik Riaz Hussain, through Bahria Town (Pvt.) Limited.” 

“Moreover, she aided and abetted in the commission of the offense by signing the "Acknowledgement of Donation" deed dated March 24, 2021. She also serves as a co-signatory for the Al-Qadir University Project Trust's account maintained at HBL Civic Centre branch in Islamabad. Sufficient documentary and oral evidence is available on record, conclusively establishing the involvement of her in committing offenses of corruption and corrupt practices as defined under section 9(a) (iv) and (xii) read with 9a(ii) and (vi) of NAO, 1999 punishable under section 10 of NAO, 1999 and Sr. No. 2 of the schedule thereto.”

Ahmed Ali Riaz, who held the position of Chief Executive Officer (CEO) / Director of Bahria Town (Pvt.) Limited from 2008 to 2015, played a significant role in the illegal activities, the reference stated. 

It has been established during the investigation that he was the account holder of various bank accounts frozen in the UK. There is substantial evidence on record demonstrating that the he aided and abetted accused No. 1, Imran Ahmed Khan Niazi, accused No. 2, Mirza Shahzad Akbar, and his father accused No. 3, Malik Riaz Hussain in the illegal diversion of funds intended for the State of Pakistan into a bank account opened to deposit the payment for land worth Rs. 460 billion In Bahria Town, Karachi. 

Additionally, accused No. 7, Ahmed All Riaz, transferred 240 Kanals 6 Marts in the name of accused No. 8 Farhat Shahzad, a Trustee of the Al Qadir University Project Trust and a front woman for accused No. 1, Imran Ahmed Khan Niazi and accused No. 6, Bushra Khan. 

This land transfer occurred through 3 mutations, but no evidence of any consideration is available on record to establish it as a genuine transaction Substantial documentary and oral evidence is available on record, conclusively establishing the involvement of accused No. 7, Ahmed Ali Riaz in committing offenses of corruption and corrupt practices as defined under section 9(a) (i) and (xii) read with 9a(v) and (vi) of NAO, 1999 punishable under section 10 of NAO, 1999 and Sr. No. 2 of the schedule thereto, making him liable for prosecution. 

The reference further stated the Farhat Shahzadi also played a crucial role as a front woman for Imran Khan and Bushra Bibi. 

“She was made a Trustee of the Al Qadir University Project Trust on 22-Jan-2022, and her association with No. 6, Bushra Khan is well-established. During the investigation, it transpired that shortly before becoming a Trustee of Al Qadir University Project Trust, a total of 240 Kanals 6 Marla of land was transferred in her name through 3 mutations by Bahria Town (Pvt.) Limited, aided and abetted by accused No. 7, Ahmed Ali Riaz, without any monetary or other consideration.” 

“This transaction indicates that this valuable land was also part of the illegal monetary gain provided by accused No. 3, Malik Riaz Hussain to accused No. 1, Imran Ahmed Khan Niazi his spouse in exchange for an illegal favour granted to him. Substantial documentary and oral evidence on record conclusively establish the involvement of accused No. 8, Farhat Shahzadi in committing offenses of corruption and corrupt practices as defined under section 9(a) (ii) and (xi) read with 9a(iv) and (vi) of NAO, 1999 punishable under section 10 of NAO, 1999 and Sr. No. 2 of the schedule thereto, making her liable for prosecution.”

The reference further stated that the top court in its recent judgment of November 23 directed that the funds received from UK be remitted to Government of Pakistan. 

“In fact, the Hon'able Court used the idiom robbing Peter to pay Paul" confirming thereby that the amount frozen by NCA could not be adjusted against payment of the price of land by Bahria Town (Pvt) Limited.”

NAB reference maintained that all the accused persons were given multiple opportunities to justify and provide information, but they deliberately, with malafide intention, refused to provide the information on one or the other pretext. 

The reference further revealed that the requests for Mutual Legal Assistance / Legal Opinion have been forwarded by NAB. The response is being awaited and will be placed before the accountability court as and when received, it added. 

According to the investigation proceedings and its findings so far, it is established that accused persons in connivance with each other have committed the offence of corruption and corrupt practices as defined under section 9(a) (), (iv), (vi) and (x) of National Accountability Ordinance (NAO), 1999 punishable under section 10 of NAO, 1999 and Sr. No. 2 of the schedule thereto.” 

The writer is an Islamabad based journalist working with The Friday Times. He tweets @SabihUlHussnain