FBR unearths huge money laundering case

By Mehtab Haider
January 31, 2020

ISLAMABAD: The Federal Board of Revenue (FBR) has apprehended one of the largest alleged case of money laundering/terror financing in which one accused possessed over Rs6.2 billion into bank accounts but he used to pay only Rs84 tax for declaring income of just Rs400,000.


According to the available information, the FBR Directorate of Intelligence and Investigation Inland Revenue Peshawar and one of its investigation officer (IO) moved an application for the attachment of bank accounts against accused Waqas Ahmed who owned Rs6.2 billion into his bank accounts but he paid just Rs84 tax through declaration of income tax for one year.

After completing investigation, the FBR moved against it and furnished information pertaining to Silk Bank main branch Peshawar bearing account number 2008704198, Bank of Khyber the Mall Peshawar Cantt bearing account number 0001000012645006, Bank of Khyber, Khyber Bazaar branch bearing account number 0001000012714001, Bank of Khyber account number 0016000008745007, Bank Al Habib Pepal Mandi Peshawar bearing account number 20410981005822019, Habib Metropolitan Bank Khyber Bazaar branch account number 629820311714126045and Habib Metropolitan Shakas branch account number 641720301714105079 before the Special Taxation Court in Peshawar.

The application was submitted by the IO for requesting provisional attachment of the said accounts for investigation. According to him, the said accounts in the light of information collected by the concerned investigation and prosecution agency and received to him from the concerned authorities, the person seems to be involved in the tax evasion on one hand, and also the case appears to be a proceed of crimes on the other hand.

The request made by the 1O has also been evaluated in the light of record so far furnished before the court, and the same seems to be having weight as there seems to be tax evasion on one hand and no money trail on the other hand, which in the light of the opinion of the court needs further investigation.

Therefore, for the purpose of proper investigation of the said accounts, the Special Court of Taxation ordered to attach and freeze accounts provisionally u/s 8(1) of the Anti-Money Laundering Act 2010 for the period of 90 days.

In a separate case, through a drive against unregistered persons who are liable to be registered under the Sales Tax Act, 1990, involved in evasion of sales tax, the Directorate of Intelligence and Investigation Inland Revenue, Lahore raided the manufacturing/business premises of Qaswar Mehmood, an unregistered unit of plastic products in Lahore, on Thursday. Qaswar Mehmood has not paid estimated sales tax amounting to Rs30 million against taxable supplies valuing Rs180 million for the tax periods from Dec 2018 to Nov 2019 calculated on the basis of electricity bill amounting to Rs21 million during this period. The taxpayer allegedly has deliberately, knowingly, dishonestly and fraudulently evaded sales tax amounting to Rs30 million approximately. During the search, record was seized which is under scrutiny and further investigation in this regard is underway.