Chief Justice Umar Ata Bandial of the Lahore High Court on Wednesday directed the National Accountability Bureau (NAB) to submit detailed reports on alleged embezzlement in the sale of the Pakistan embassies in Japan and Indonesia.
The NAB counsel submitted a preliminary inquiry report about the sale of the Pakistan embassy building in Tokyo to the court on Wednesday. It stated that then ambassador Kamran Niaz had sold the building illegally in 2007 for $49 million (Rs4.64 billion, at current exchange rates). He said the former ambassador had invested the money in a private steel mill.
The chief justice expressed dismay when the NAB counsel said that the bureau had not conducted an inquiry into the sale of the Pakistan embassy in Indonesia.
The judge adjourned the hearing till October 11 and directed the bureau to submit detailed inquiry reports on both sales as well as take action against those responsible for any embezzlement.
The petition, filed by Dr Qaiser Rashid, stated that billions of rupees had been embezzled in the sales of these buildings.
He said that the LHC had, while disposing of his petition on April 15, 2011, directed the NAB director general to hold an inquiry into the allegations within 60 days. He said that the bureau had failed to obey the court order and should be punished.
In his main petition, Dr Rashid, citing news reports, alleged that former ambassador Major General (retired) Mustafa Anwar had pocketed huge kickbacks while selling the embassy in Indonesia, as well as the ambassador’s residence, for a throwaway price. The property had been a gift to Pakistan from former Indonesian president Sukarno.
He said the former ambassador, “on the pretext of a directive issued by the chief executive Gen (r) Pervez Musharraf,” had sold the property in violation of procedures and in defiance of Foreign Ministry directives to await approval from an inter-ministerial committee.
The petitioner said that the sale deal was concluded through a company owned by the ambassador’s Indonesian wife. The inter-ministerial committee, after the deal, gave approval for the sale to an Indonesian company, Era Victorail, for a mere $2.28 million (Rs208 million).
About the Tokyo embassy, the petitioner said the embassy and ambassador’s residence, on 2249.16 square metres, was sold at a throwaway price in 2007 to a Japanese company named Nomura Real Estate. In return, the embassy staff allegedly received kickbacks. The money so embezzled had later been invested in Aisha Steel Mills through a frontman, said the petitioner.
The petitioner said that as a citizen of Pakistan, he had a right to know how much money had been embezzled in any form in these deals and how much money had been recovered by the government. He asked the court to declare the sale of these properties illegal, against the public interest and a violation of fundamental right. He also asked that the federal government, the Federal Investigation Agency and NAB be directed to take action against the officials responsible for the illegal sales. He said that the sale and purchase of government property abroad must be stopped.
The petitioner also offered to withdraw his plea provided that the court directed the respondents to conduct a thorough inquiry and proceed against the officials responsible.
Published in The Express Tribune, September 6th, 2012.
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