Hyderabad accountability court rejects bail for Iqbal Z Ahmed in Rs28bn money laundering case

ISLAMABAD: The Accountability Court in Hyderabad, Sindh, has denied bail to Iqbal Z Ahmed and five co-accused, citing the absence of fresh grounds for their release.

The decision came during a hearing where Farooq H. Naek, the counsel for the accused, and Jane Khan, Special Prosecutor for NAB, presented their arguments.

Farooq  H.  Naek,  learned  counsel  for accused  persons  each namely, Iqabl Z. Ahmed, Fasihuddin Ahmed, Raziuddin Ahmed, Asim Iftikhar, Qazi Humayon Fareed and Salamat Ali.  Jane Khan, Special Prosecutor, NAB was present on the occasion of Accountability Court Hyderabad’s hearing on the request of

Naseem Akhtar,  Incharge Judge, Accountability Court Hyderabad, in its order dated 16-11-2023, said, by this order, I intend to dispose of post arrest bail application filed on behalf of above named accused persons under section 497 Cr.P.C read with section 9 (b) of National Accountability Ordinance, 1999.

The brief facts of the reference are that all accused persons with a common intention and in connivance with each other during the period from 20-10-2011 to 20-08-2019, have maliciously declared the sale of LUB Gas Pvt. Ltd as Rs.72 billion respectively with sheer intention: to cover up the injection of black money into the corporate bank accounts of JJVL, Lub Gas and NGL regarding extraction from the gases supplied by the Sui Southern Gas Company Limited (SSGCL/Government Exchequer.

It is also mentioned in the references that the documentary evidences/record seized from the SSGCL reveals that SSGCL supplied the LPG worth Rs 22.88 billion and contrary to that of JJVL declared ias sale as Rs 43.43 billion which became 200 percent more than the actual sales or LPG received from the SSGCL, whereas the record of sales tax return submitted by the JJVL to the Federal Boar of Revenue (FBR) reveals that the total sale of JJVL was Rs 35 billion. It has transpired during investigation after further verification that JJVL supplied 347,625,565 metric tons out or 614, 285 metric ton of LPG to its owned five companies, which was 57pc of total LPG sale as declared to Oil and Gas Regulatory Authority (OGRA) and the value of 57% sale was Rs 21.79 billion. If this figure was extrapolated to 100% this tantamount at Rs 38 billion which again was lower than self-declared figure of Rs 72 billion and deposited into top eight banks accounts opened at Habib Metro Bank (HMB), Summit Bank and Bank of Punjab and the same amount was withdrawn with the signature of accused Iqbal Z Ahmed. The analysis of said accounts have further established that the deposits included loan facility of Rs 24.45 billion, intra accounts and companies transferred Rs 35 billion, transferred from Lub, PPRL, Star Power And transferred from accused persons each namely Fasih-u-din Ahmed, Razi-ud-din Ahmed, Asim Iftikar and Salamat Ali was as Rs 25.95 billion and cash of Rs 1.289 billion, hence total was Rs 156.76 billion, thus difference of Rs 16.54 billion (inclusion of cash) has been identified . As per corruption and corrupt practices and money laundering /layering as defined in section 9(a) of NAO, 1999 and section 3 of AMLA, 2010 respectively, laundered the amount worth more than Rs 28 billion in the following manner:

• The loss related to JJVL by accepting the sales as Rs 72 billion was Rs 16.54 billion. However, on actual sale it would be more than Rs 22 billion.
• The loss identified against Lub Gas was Rs 7.7 billion
• The loss identified Mehran LPG for cash was Rs 625 billion.
• The loss of accused Iqbal Z Ahmed’s personal accounts was Rs 4.069 billion
• Total loss was Rs 28.995 billion (Rs 16.54+ 7.7+ Rs 0.625+ 4.069).

Learned counsel for the accused persons has argued that the accused persons Iqbal Z Ahmed and Salamat Ali have obtained post arrest bail under section 497 Cr.P.C and other accused persons obtained pre-arrest bail under section 498 Cr.P.C from the honourable High Court by common order dated 31-03-2020 and thereafter, accused persons were appearing before the trial court and charge was framed against them.

Learned counsel for the accused persons has argued that honourable High Court recalled bail applications only because surety bonds were withdrawn and on merits on which the bail was granted has not been set aside hence the accused persons are entitled for concessions of bail and again argues bail application on merits that accused persons are directors/shareholders of registered companies that have caused no loss to government exchequer, they are private individuals of private companies therefore there is no question of misuse of authority and also argued hat accused persons are regular tax payers and there is no any material evidence against them for any mis-appropriation of applications/accused namely Iqbal Z Ahmed is 77 years of age and accused Qazi Hamayon Fareed is 80 years of age  and suffering from multiple diseases.

On the other hand, Learned Special Prosecutor, NAB has vehemently opposed the bail application and argued that the bail was granted to the accused persons by the Hon’ble High Court’ vide order elated 31-03-2020 and later on, the application for return of sureties of the accused persons were moved before the honourable High Court and NAB was served through notices and Special Prosecutor for NAB has also appeared before the Honourable High Court and the applications were allowed for return of sureties and bail ‘was recalled of all the accused persons as per order dated 08-08-2023 and 30-08-2023. Thereafter, the accused persons have not appeared before the honourable court for restoration of their bail with fresh sureties nor challenged the order of the High Court before any forum and orders are in the field.

Learned Special Prosecutor, NAB has also argued that the bail application under section 497 Cr.P.C does not disclose any fresh ground for second bail application and also argued that the grounds of merits, medical  as well as old age of some of the accused persons were considered by the High Court and the bail was granted but after the recall of bail the present bail application no any fresh ground is taken and also argued that it is well settled law that for moving second bail applications there should be fresh grounds but in the present case no any new of fresh ground and even no any argued that there is no any fresh ground in the bail application and prayed for the dismissal of the application  and also argued that the law cited by learned counsel for the accused is totally different from the facts and circumstances of the instant case.

As per Accountability Bureau, Hyderabad’s orders, it is admitted position that accused persons have not challenged  this order before any forum nor appeared before  the High Court for restoration of their bail with another surety the order is existing  in the field.

It is also admitted position that the bail was granted to accused persons on merits as well medical and old age grounds by the High Court but the perusal of this bail application under section 497 Cr. P.C does not disclose any fresh ground nor during the arguments learned counsel has agitated any fresh ground and  no any medical certificate is attached with bail application and it is well settled law that in second bail application there must be fresh  grounds for consideration of bail but in the present case no any fresh ground is mentioned or agitated and the order of the High Court has not been challenged before any forum therefore, since there is no any fresh ground in the bail application. I am of the humble view that the accused persons have not made out case for grant of post arrest bail and the same is hereby dismissed, said court order, a copy of which is available with this scribe.

Earlier, Iqbal Z Ahmed, the chairman of Associated Group (AG), and five of his associates were detained by an accountability court in Hyderabad on Saturday, November 11, 2023.

The family of Iqbal Z Ahmed lambasted the arrest as spurious and illegitimate, and claimed that the National Accountability Bureau (NAB) had overstepped its bounds in the matter.

In a statement, the family said: “Mr Iqbal Z. Ahmed and his associates were apprehended from within the courtroom of the accountability court in Hyderabad, where they had appeared for the hearing of a baseless case filed by NAB against them.” This statement suggests that the detainees were not given a fair chance to defend themselves in court, and that NAB had acted arbitrarily and unlawfully.