FIA to probe Yabaite for role in MMBP scam

LAHORE: The Federal Investigation Agency (FIA) has started probe into the alleged money-laundering and corruption by a Chinese company, Yabaite Technology Co Ltd, and others in the Multan Metro Bus Project (MMBP). Sources told The News that the FIA had started probe into the matter after receiving formal application from the Securities and Exchange Commission of Pakistan (SECP) a few weeks ago. They said investigators had written a letter to the State Bank of Pakistan (SBP) and sought record relating to 16 companies which had deposited millions of dollars in the account of Yabaite Technology Co Ltd during 2015.

These companies, the sources said, had deposited the amount from different foreign countries - including the UK, US and the UAE - in the account of Yabaite Technology Co Ltd, listed on the Shenzhen Stock Exchange by the China Securities Regulatory Commission (CSRC).It is learnt that the SBP has written letters to all private and government banks in this regard and directed them to share whatever the FIA is seeking relating to 16 companies.

Top Punjab government officials have also communicated to the FIA to probe the matter on merit and fix all the accused, if found involved in any dirty deal, as early as possible. Reportedly, during the investigation by the CSRC, the Yabaite China had claimed that it worked as a subcontractor of the Capital Engineering and Construction Company, a subcontractor itself of a consortium for a section of the MMBP. The SECP told the CSRC that the Capital Engineering and Construction Company was not registered with it and its office address couldn’t be traced yet. PTI Chairman Imran Khan had accused Chief Minister Shahbaz Sharif of corruption in the MMBP that he denied. Later, the CM also filed a defamation suit against the PTI chief for baseless allegations.