Panama case: NAB, FBR failed to do their job, judge remarks

ISLAMABAD: State institutions which should have probed offshore companies named in the Panama Papers failed to do their jobs, a five-member larger bench of the Supreme Court led by Justice Asif Saeed Khosa remarked as it resumed hearing the Panama Leaks case on Tuesday.

During the proceedings today, the bench remarked that neither FBR nor NAB performed their jobs. "It has been a year and NAB did not initiate any investigation," said Justice Ijaz Afzal said. "Those who had been named in the Panama Papers should at least have been interrogated by NAB," Justice Azmat Saeed said. 

Chairmen National Accountability Bureau (NAB) and Federal Bureau of Revenue (FBR) presented themselves in the apex court.  On Monday, Chairman NAB submitted references related to the Sharif family in the Hudaibiya Paper Mills and Raiwind Estate cases in the Supreme Court. The two references were filed 17 years ago during the tenure of military dictator General (Retd) Pervez Musharraf.

The hearing has been adjourned till Wednesday and it is expected that the verdict will be announced on Thursday.

FBR questioned over role in offshore companies

During the proceedings today, Justice Asif Saeed Khosa asked FBR about its role in offshore companies.

The FBR chairman replied that he had contacted the Foreign Office over offshore companies named in the Panama Papers. He said he had sent notice to 343 people in September 2016, of which 52 people refused ownership, while 39 were not Pakistani citizens. He added that 92 individuals agreed to owning offshore companies while 12 individuals have passed away.

To this the judges remarked that the Foreign Office was situated at a distance of only 200 yards from the FBR office. "It took the FBR six months to cover a distance of 200 yards," Justice Azmat Saeed said. He further asked, what reply did he get when he sent notices to the Sharif family.

The FBR chairman replied that Maryam, Hassan and Hussain Nawaz had replied to the notice on 21 November 2016. Maryam had said she did not have any property abroad. She did not mention being trustee to any property either, he said. Meanwhile Hussain Nawaz replied that he had been living abroad since 2000.

The FBR chairman said that the FBR initiates action after tax returns are filed. Currently, Pakistan does not have any agreements over exchange of tax information with Panama, he added.

NAB Chairman says he is aware of his duties

Justice Gulzar Ahmed asked the NAB Chairman Qamar Zaman Chaudhry what action his institution had taken over the Panama Papers.

The NAB chairman replied that he was aware of his duties. He said that in 2016 the case came in the Public Accounts Committee (PAC).

Justice Asif Saeed Khosa asked that in the PAC, NAB had maintained that investigation was not in its circle of authority.

The NAB Chairman correcting him saying that he had maintained that NAB will initiate action after relevant authorities complete their formalities.

Justice Gulzar asked the NAB Chairman if anyone regulates NAB? 

The chairman replied that laws regulate NAB.