Sugar mill challenges FIA inquiry

Lahore High Court’s Justice Muhammad Waheed Khan has sought a detailed reply from the Federal Investigation Agency (FIA) by September 14 on a writ petition filed by the JWD Sugar Mills against an inquiry ordered in the light of a commission's report.

The petitioners, including company secretary Maqsood Ahmad Malhi of the mills owned by Jahangir Tareen, made respondents the Securities and Exchange Commission of Pakistan (SECP), interior ministry, Prime Minister's Adviser Mirza Shehzad Akbar, FIA Director General Wajid Zia and several others.

The petitioners contended that Akbar had unlawfully and illegally ordered the FIA and SECP to proceed against JWD and initiate an investigation in light of the inquiry commission’s report. They said the authorities had been instructed to complete the investigation within 90 days.

They claimed that a false allegation of corporate fraud was levelled against them and a JIT was constituted for probing into a sugar scandal. The federal cabinet approved proceedings against sugar mills in light of the inquiry report of the commission.

The petitioners implored the court that the federal cabinet did not have the right to declare anyone an accused. They submitted that the Sindh High Court had also declared unconstitutional the call up notices issued to sugar mills om the basis of the commission’s report.

They argued that FIA could initiate an investigation only on a reference of the SECP under the Companies Act 2017 and Securities Act 2015. The SECP had not sent any reference to the FIA against JWD Sugar Mills on the matter, they added.

They submitted that under influence of the federal government, fair investigation could not be expected from the FIA. Neither there was any constitutional value of the commission’s report nor it could be produced as evidence, they added.

They submitted that the federal government had failed in producing any evidence in connection with the allegation of corporate fraud and the sugar inquiry report had relied upon estimates.

They prayed the court to declare null and void the investigation initiated by the FIA, approval of the investigation by the cabinet and the notices issued to them.

The petitioners requested suspension of all notices, proceedings and actions taken by the government and the FIA against them till the decision on the petition.

Published in The Express Tribune, August 21^st, 2020.