New turn in Khanani and Kalia money laundering case

ISLAMABAD: Fresh investigation into the country's biggest money laundering scam made shocking revelations about the Khanani and Kalia International (KKI) which through Al-Zaroorni Exchange Company, based in a Middle Eastern country, allegedly transferred billions of dollars all over the world.

“The inquiry team successfully detected 5,000 deposit slips and 35,000 telegraphic transfers along with respective swift messages. The alleged illegal flight of capital spread over months from April 2008 to November 2008. Over Rs2 billion were laundered from Pakistan to a Middle Eastern country via KKI and deposited in foreign bank branches,” revealed a gist of fresh investigation prepared by a special committee of the Federal Investigation Agency (FIA). 

Minister for Interior Chaudhry Nisar Ali Khan formed this committee to thoroughly re-investigate all facts against Altaf Khanani and Javaid Khanani, the directors of the largest foreign exchange company in the country, who were accused of transferring billions of dollars from Pakistan through illegal ‘Hawala or Hundi business’.

One of investigators claimed that some big-guns who are accused of laundering hundreds of billions of rupees through the KKI from Karachi to other countries would stand exposed after the Federal Bureau of Investigation (FBI) shares its forensic report with Pakistan.

“Security of the record revealed that 26 ‘benami’/bogus accounts with hundreds of linked accounts maintained in different banks across the country. Inquiry team has analysed deposit slips with swift messages of transactions exceeding one hundred thousand UAE dirham having reference of the Pakistani remitter for the months of April 2008 to November 2008 and about 373 transactions have been traced out,” read the gist exclusively made available with this correspondent.

Because of alleged negligence of investigators both principal accused Mr Altaf and Mr Javaid were no longer accused of smuggling huge money. Javaid Khanani died after falling from building located in Bahadurabad area of Karachi last year while a US court awarded Altaf Khanani a sentence of 68 months in prison with fine worth $0.25 million for money laundering last month.

The US Treasury Department also said in November 2015, “Altaf Khanani is known to have had relationships with Lashkar-e-Tayyiba, Dawood Ibrahim, al-Qaeda, and Jaish-e-Mohammed.” 

“Permission U/S 94 CrPC for obtaining bank record has been obtained from the district and sessions judge, Lahore. A letter has been sent to the presidents of different Pakistan-based banks having branches in the Middle Eastern country for providing bank record of different accounts being maintained in different banks. After obtaining the bank record inquiry will be finalised on merit. The letter has been written to the director, exchange policy department, State Bank of Pakistan, Karachi for deputation of financial technical expert of the said bank for technical assistance and report,” revealed the investigation.

In its future course of action, FIA team further stated that inquiry would be finalised after receiving the record of different accounts of different banks maintained in the Middle Eastern country. Upon receipt of bank record remittances will be examined regarding their illegal flight of capital, the investigation revealed.