SHC extends interim stay of Ali J Siddiqui

KARACHI: The Sindh High Court, on Wednesday continued the interim stay order restraining the National Accountability Bureau from taking adverse action including arrest of Pakistan’s ambassador designate to the US Ali J Siddiqui with regard to NAB’s corruption inquiry.

The direction came on a petition filed by Ali J Siddiqui against the NAB call up notice issued to him for a corruption inquiry against the directors of investment firm Azgard Nine, Agritech. The court, however, directed the NAB to file comments on the petition and adjourned the hearing till May 3.

The petitioner’s counsel Khalid Javed had earlier submitted that the NAB has issued called up notice on March 15 to reply to the allegations leveled against directors of investment firm M/s Azgard Nine forsiphoning off funds amounting to Euros 23.578 million in 2008 for purchase of an Italian company Monte Bello SRL using a foreign company Fairytal SRL Sweden which resulted in loss to the company shareholders. Besides, selling of shares of Agritech to different financial, government institutions by Azgard Nine at higher price than the market price to settle the loan defaults of the company which resulted in approximate loss of Rs. 40 billion to different financial and government institutions.

He submitted that the petitioner, who was also special assistant to the prime minister, has nothing to do with the offence and a propaganda was launched by the rival business competitors soon after he was designated by the government for the post of Pakistan's Ambassador to the US.

He submitted that the inquiry initiated by the NAB is barred under section 41-B of the Security Exchange Commission of Pakistan Act besides the purchase in question was made with approval of the State Bank of Pakistan.

He submitted that the transaction of Agritech shares was made in November 2012 whereas he had resigned from the board of directors of the company in March 2010. He submitted that the petitioner did not commit any illegality and the transaction was protected under the SECP Act and the NAB has no jurisdiction to issue the call up notices.