Illegal money transfer: DG FIA says acquittal questionable

Director General of FIA alleges a large sum of money was used for the release of suspects in Khanani and Kalia case.

ISLAMABAD: The Director General of the Federal Investigation Agency (FIA), Wasim Ahmed, on Satuday said that the exoneration of the suspects in the Khanani and Kalia case was questionable.

Speaking to the Senate’s Standing Committee on Interior, he alleged that a large sum of money was used for the release of the accused.

Ahmed said that there was sufficient evidence on record available against the accused.

On Friday, the directors of Khanani and Kalia International (KKI) and four bankers were acquitted on charges of operating an illegal money transfer system at a banking court in Karachi.

The prosecution in the case against Khanani and Kalia, however, was not able to provide any evidence that showed that the company, its directors or the four bankers were in any way involved in such activity.

The four directors of KKI and the four bankers, however, are being transferred to a prison in Lahore to face a separate trial regarding similar allegations of illegal international money transfers.

The standing committee has directed the FIA to probe the issue and submit a report within 30 days.

KKI’s actions are alleged to have caused a major disruption in Pakistan’s currency operations and helped precipitate a sharp drop in the value of the rupee, which depreciated by 27 per cent during the year 2008.