‘Sharifs used paper mill to whiten money’ - Ishaq Dar's confession

By Azaz Syed
Friday, 13 Nov, 2009
Dawn

Senator Ishaq Dar, while accusing Nawaz and Shahbaz Sharif of money laundering, also implicated himself by confessing in the court that he had opened fake foreign currency accounts in different international banks.

ISLAMABAD: The Musharraf government prepared a money laundering reference against PML-N leaders Mian Nawaz Sharif and Mian Shahbaz Sharif in 2000 on the basis of a statement recorded by one of their trusted lieutenants, Senator Ishaq Dar, according to a court document seen by Dawn here on Thursday.

Senator Dar’s handwritten statement, given before a magistrate back on April 25, 2000, had alleged that Sharif brothers used the Hudaibya Paper Mills as cover for money laundering during the late 1990s.

The reference was prepared on the orders of then president Pervez Musharraf, but it was shelved after the Sharif brothers went into exile in December of the same year.

The Musharraf government tried to reopen the reference in 2007 after Nawaz Sharif announced his return to the country.

The confessional statement of Senator Ishaq Dar was recorded before a district magistrate in Lahore. He was brought to the court from a jail by Basharat Shahzad, who was then serving as assistant director in the Federal Investigation Agency (FIA).

According to legal experts, the senator’s deposition was an `irrevocable statement’ as had been recorded under section 164 of the Criminal Procedure Code (CrPC).

Senator Ishaq Dar has always been regarded as one of the closest aides of the Sharif family, and is now also a relative as his son is married to Nawaz Sharif’s younger daughter.

However, the NAB record clearly shows that back in 2000 he had agreed to give a written statement against the Sharifs about their alleged involvement in money laundering.

The top PML-N leaders had hit a rough patch by then as some of their lieutenants were busy developing a new political system for Gen Pervez Musharraf after his Oct 1999 military coup.

In the statement, Ishaq Dar accused Nawaz and Shahbaz Sharif of money laundering in the Hudaibiya Paper Mills case.

At one point in the 43-page statement, Mr Dar said that on the instructions of Mian Nawaz Sharif and Shahbaz Sharif, ‘I opened two foreign currency accounts in the name of Sikandara Masood Qazi and Talat Masood Qazi with the foreign currency funds provided by the Sharif family in the Bank of America by signing as Sikandara Masood Qazi and Talat Masood Qazi’.

He said that all instructions to the bank in the name of these two persons were signed by him under the orders of ‘original depositors’, namely Mian Nawaz Sharif and Mian Shahbaz Sharif.

‘The foreign currency accounts of Nuzhat Gohar and Kashif Masood Qazi were opened in Bank of America by Naeem Mehmood under my instructions (based on instructions of Sharifs) by signing the same as Nuzhat Gohar and Kashif Masood Qazi.’

The document shows Dar stated that besides these foreign currency accounts, a previously opened foreign currency account of Saeed Ahmed, a former director of First Hajvari Modaraba Co and close friend of Dar, and of Mussa Ghani, the nephew of Dar’s wife, were also used to deposit huge foreign currency funds provided by ‘the Sharif family’ to offer them as collateral to obtain different direct and indirect credit lines.

Senator Dar had disclosed that the Bank of America, Citibank, Atlas Investment Bank, Al Barka Bank and Al Towfeeq Investment Bank were used under the instructions of the Sharif family.

Interestingly enough, Ishaq Dar also implicated himself by confessing in court that he — along with his friends Kamal Qureshi and Naeem Mehmood — had opened fake foreign currency accounts in different international banks.

Mr Dar said an amount of $3.725 million in Emirates Bank, $ 8.539 million in Al Faysal Bank and $2.622 million were later transferred in the accounts of the accounts Hudaibya Paper Mills.

He said that the entire amount in these banks finally landed in the accounts of the paper mills.

The Hudaibiya Paper Mills case is still pending in the National Accountability Bureau.
If it is opened again, the Sharif brothers may be in for a rude shock: a confidant is to blame for the albatross around their necks.

In this regard Dawn made repeated efforts to contact Senator Dar on telephone, but without luck as his mobile number was switched off and he did not reply to text messages.

However, a PML-N spokesman Siddiq ul Farooq alleged that the signed statement was extracted from Mr Ishaq Dar under duress.


‘NAB report dents Nawaz Sharif’s stance on NRO’

LAHORE: Rashed Rahman, renowned analyst and Editor of the Daily Times, has said that the recent money laundering scandal of Pakistan Muslim League-Nawaz (PML-N) chief Nawaz Sharif and Punjab Chief Minister Shahbaz Sharif revealed in the documents of the National Accountability Bureau (NAB) has damaged the so-called moral stance of the Sharifs on the National Reconciliation Ordinance (NRO).

Talking to a private television channel, he said that no body had the moral high grounds amongst the political class of the Pakistan, as they were all involved in scandals including the Sharifs. Rahman said that PML-N leader Ishaq Dar had confessed to the money laundering of the Sharifs viz-a-viz the Hudabia Paper Mills case, saying he could not deny the confessional statement of Sharif’s confidant and accountant-en-chief, Ishaq Dar.

Rahman said the same statement of Ishaq Dar was lying with NAB since 2000, and wondered as to why this report had been suppressed for so long. (Daily Times)
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2nd Instalment Of Truth - NRO Actually!

Selection by: Jarri Mirza

Article written by: Marvi Sirmed

This is in continuation of my earlier post on NRO, posted on November 7, 2009, which can be seen at http://marvisirmed.com/?p=193. We were trying to learn about this Ordinance clause by clause. So far we have examined Section II and saw that a major amendment in Criminal Procedures Code could well be used to control the damage (if any), if the federal and provincial governments want. We’ll now move on to next sections.

Section III of the Ordinance adds up a new subsection to section 39 of the Representation of People Act (RPA) of 1976. The RPA has been amended many times after its promulgation in 1976. The latest amendment came in 2008. The said Section 39 of the RPA deals with the consolidation of election results. It previously had six subsections. The seventh subsection thus added involved immediate providence of the election results by the returning officer, to the contesting candidates and their election agents who are present during the consolidation process. It is provided that the returning officer will provide them the copy of the result of the count sent to the Election Commission. It must be noted here that all political parties agree that this amendment to the RPA 1976 is beneficial for the electoral process and its free, fair and transparent holding.

Sections IV and V of NRO can be read clubbed together for better comprehension. Both of these sections provide that no member of the Parliament or of Provincial Assemblies could be arrested in a NAB related case unless recommended by Special Parliamentary Committee on Ethics. These sections also provide that such Committees on Ethics will be constituted in Senate and in National / Provincial Assemblies, having equal representation of opposition and ruling party members. The members of these Ethic Committees will be appointed by the Speaker(s) National / Provincial Assemblies / Chairman Senate as recommended by the Leader(s) of House(s) and Leader(s) of the Opposition. There will be 8 members in each of these committees and a chairperson.

Moreover, both of these sections actually make amendment to already existing National Accountability Ordinance of 1999. Under Section 31-C of the NAO, the officers of banks and financial institutions who might be charged for appropriation and right off/ waiver of loans etc, under NAB, were given protection. These two sections of NRO (Section 4 and 5) actually extend this protection to the elected representatives of people.
The protection given to the bank officers under NAO 1999 provides for the NAB to not arrest any such accused unless a formal approval is given by the Governor State Bank of Pakistan. Similarly, if some officers / other persons associated with NAB investigations are accused of hampering such proceedings, s/he will not be charged with out the sanction of a Committee headed by NAB Chairperson.

In the presence of such a protection for the bank / government officers that already existed in the form of NAO 1999, the temporary protection given to the elected representatives of people doesn’t seem a big deal. Further, this protection seems to be given to curtail political victimization of the opposition members by any sitting government. This provision, negotiated by PPP with the then military ruler, seems to be in accordance with Charter of Democracy agreed between PPP and PML-N according to which, no political victimization will be done against each other. It seems that CoD was being formally institutionalized when this very clause was being negotiated.

It must be mentioned here, that a special meeting of Parliamentary Committee on law and Justice was convened on October 31, 2009 under the Chairpersonship of Begum Nasim Akhtar Chaudhry who is member of National Assembly from ruling PPP. The said Committee comprises 16 members including the Chairperson, 4 members from PML-N, one from MQM, 3 from PML-Q. That makes one chairperson, 7 members from PPP while total 8 members from other parties. This Committee discussed the Ordinance clause be clause and approved with simple majority.
Strangely enough, all major parties i.e., PPP, PML-N and PML-Q unanimously agreed to scrap these two sections of NRO. Should we think that all the parties agree to carry on with political victimization of each other?

Section VI of NRO provides for a new sub-section in Section 31 (A) of National Accountability Ordinance 1999. This new section says that any judgement of the court passed in the absence of the accused, would be void and should not be complied with. This Section was specifically added for the benefit of Mian Nawaz Sharif and Mohtarma Benazir Bhutto – two main leaders of major political parties who were thrown out of the political arena in Pakistan. This clause also seems to be an outcome of Charter of Democracy. In the absence of PML-N from the entire discussions of NRO with the General, PPP and MQM negotiated this clause, to the clear benefit of Mian Nawaz Sharif and Mohtarma. This is the section which made it possible for Mian Nawaz Sharif to stage a comeback.

Section VII , the last of NRO, provides for the withdrawal of all the cases against the holders of public offices, which were initiated by the Federal Government prior to October 12, 1999. These cases will only include the pending cases, and not the cases in which decisions have been finalized, or plea bargain has been settled by NAB. This also does not include cases related to cooperative societies and financial & investment companies, no matter if they are initiated prior to October 12, 1999.

Under this Section, protection is also provided to the NAB members & functionaries, federal, provincial and local governments and their functionaries against persecutions, on account of withdrawal of such cases.

It is very clear that all parties including PML-Q (including its Patriot members e.g., its Parliamentary Leader Faisal Saleh Hayat among many others), MQM, some members of PML-N and PPP are the beneficiaries of this section. It is also ironic that PML-N who is the biggest critic of this Ordinance, took active part in the Law & Justice Committee deliberations on NRO until Section 6. As soon as discussion started on Section 7, they staged a walk out. It may probably be due to the reason that the said section benefits only the mid level leaders of PML-N, and not the main leadership.

We’ll continue our discussion on NRO in the next instalment of truth, let’s assimilate this much first!

SOURCE:http://marvisirmed.com/?p=197..
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