In unanimous verdict, Election Commission says ex-PM Khan’s PTI received ‘prohibited’ funds 

Paramilitary soldiers stand guard outside the Pakistan’s election commission building in Islamabad on August 2, 2022. (AFP)
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Updated 02 August 2022

In unanimous verdict, Election Commission says ex-PM Khan’s PTI received ‘prohibited’ funds 

  • Information minister asks Imran Khan to step down as party chairman, promises implementation of verdict as per law
  • Receiving foreign funds from individual or companies to support election campaigns is prohibited under Pakistani laws 

ISLAMABAD: The Election Commission of Pakistan (ECP) said on Tuesday the political party of Pakistan’s ex-premier Imran Khan had received “prohibited funds” as it announced a unanimous verdict in a years-long investigation into the funding sources of the entity. 

The ECP inquiry has acquired ever greater importance in recent weeks as Khan, who lost office in April in a parliamentary vote of no-confidence, pushes for a political comeback. The closely-watched case was filed by a former member of the PTI party, Akbar S. Babar, in 2014, who alleged that the political entity received foreign funds from individual or companies to support election campaigns, which is prohibited under Pakistani laws. 

In its 70-page verdict, which was unanimous, the ECP listed all individuals and entities, including the disgraced business tycoon Arif Naqvi, who sent the prohibited funds, saying Khan’s party “knowingly and willfully received these donations.” 

“The commission is satisfied that the contributions and donations have been received by the respondent party through prohibited sources,” the polls regulator ruled. 

Reacting to the development, Prime Minister Shehbaz Sharif said Khan had violated the constitution of the country. 

“ECP verdict on PTI foreign funding case chargesheets Imran [Khan] Niazi for violating the constitution, submitting false affidavits & accepting foreign money,” he said in a Twitter post. “Proven yet again that he is a certified liar. Nation should ponder over the implications of his politics funded by foreigners.” 

The commission found that donations were received from America, Australia, Canada and the UAE, with the PTI getting funds from 34 individuals and 351 businesses, including companies. 

Thirteen unknown accounts have also been unearthed, the commission said in the verdict, saying these “disowned” accounts were opened and operated by senior PTI management and leadership. 

“Non-disclosure and concealment of 16 bank accounts by PTI which is a serious reporting lapse at the part of PTI leadership and in violation of Article 17 (3) of the constitution of Pakistan,” it said. 

According to Article 17 (3) of the constitution, “every political party shall account for the source of its funds in accordance with law.” 

Speaking to Arab News, Justice (r) Shaiq Usmani said it was up to the federal government if it wanted to declare the PTI a party that “has been operating in a manner prejudicial to the sovereignty or integrity of Pakistan.” 

He added if the government made such declaration, it would be required to refer the matter to the Supreme Court within 15 days “whose decision on the reference will be final.” 

“The Supreme Court may ban the party if the PTI fails to justify in response to the show-cause notice that it received all the funding from legal sources,” he said. “But disqualification of Imran Khan from holding any public office on the basis of the election commission’s judgment is out of the question.” 

The ECP mentioned, however, that Khan had been providing inaccurate financial information to the election regulatory authorities for years. 

“The Chairman of PTI [Imran Khan] for financial year 2008-09 to 2012-13 (Five Years) has submitted Form-I which were found to be grossly inaccurate on the basis of the financial statements obtained by this Commission from SBP [State Bank of Pakistan] and other material available on record,” said the ruling. 

“Therefore, in view of the material available on the record and above discussion, the matter falls within the ambit of Article-6 (3) of PPO [Political Parties Ordinance], 2002,” it added. 

“Hence, the Commission directs that a notice may be issued to the Respondent party in terms of Rule-6 of PPO 2002, as to why the aforementioned prohibited funds may not be confiscated.” 

Barrister Saad Rasool said banning the PTI as a party along with Khan’s disqualification on the basis of the election commission’s judgment was “not possible,” though he added it could still provide the ruling coalition space to launch a political onslaught Khan and his party colleagues. 

“The election commission can confiscate the prohibited funding and may impose some further damages on the party as well as a penalty, but nothing more than this under the law is possible,” he told Arab News. 

However, former attorney-general of Pakistan Irfan Qadir said the ECP judgment could have “serious consequences” for PTI leadership. 

“The PTI should sit with other political parties to bring unanimous reforms to the election laws,” he told Arab News. “Otherwise, this circus will continue in the country.” 

“Let’s see how the federal government react to this verdict,” he added. 

Federal information minister Marriyum Aurangzeb said Khan was no longer “truthful and honest” and should immediately step down as party chairman. 

“The federal government will act upon the election commission’s verdict as per the law,” she added. 

Addressing the media in front of the ECP office in Islamabad, PTI leader Farrukh Habib said his party had already expressed reservations regarding the country’s election regulatory authority. 

“We have challenged eight different decisions given by the ECP in different high courts and were later given relief in those cases,” he added. 

PTI leader, Chaudhry Fawad Hussain, said it was time for fresh elections in the country, calling the ECP decision a “distraction” from real issues. 

“PTI is the only Pakistani political party that relies on proper public funding,” he said, adding that much of the money that came into the party accounts was donated by overseas Pakistanis. 

“We consider Pakistani nations abroad to be the backbone of the country’s economy,” Hussain said. “Let me make it clear that we will continue to rely on them for our funding in the future.” 

The PTI chairman has frequently said the chief election commissioner (CEC), Sikandar Sultan Raja, is not neutral and accused him of taking politically motivated action against the PTI. He has demanded fresh elections should be held under a new CEC. 

Addressing the national council meeting of his party in the federal capital on Monday, Khan asked PTI workers and supporters to protest outside the ECP building on August 4 to demand the CEC’s resignation. 


As IMF program nears its end, Pakistan’s finance minister reiterates country won’t default 

Updated 9 sec ago

As IMF program nears its end, Pakistan’s finance minister reiterates country won’t default 

  • Finance Minister Ishaq Dar says despite having external debts, Pakistan has assets worth billions of dollars 
  • People ‘fond’ of predicting the country would default within two, three months should be ashamed, he adds 

ISLAMABAD: Finance Minister Ishaq Dar reiterated on Saturday that Pakistan would not default despite the economic challenges it was facing, adding the government would come up with new ideas in the weeks to come to steer the country out of the economic crisis. 

The South Asian country has for months been struggling with an acute balance-of-payment crisis, with inflation hovering at a record high, currency depreciating fast and foreign exchange reserves at critically low levels. 

Pakistan is making desperate attempts for the revival of a $6.5 billion International Monetary Fund (IMF) program that would release a $1.1 billion bailout tranche. The installment has been pending since November and the program is due to expire on June 30, with the government expected to present the federal budget next week. 

The stalemate has raised concerns that the country may default on its international financial obligations without the IMF funding. But Dar, in a meeting with a business delegation in Islamabad, assured that Pakistan, as a sovereign country, had assets worth billions of dollars. 

“If we have $100 billion in external debts, we also have assets, and one of our assets, the gas infrastructure, alone costs $40 to $50 billion, which is 50 percent of the debt,” he said. 

“No one is saying internationally that Pakistan will default, only some pseudo-intellectuals are saying that. In fact, the MD [managing director] of the IMF issued a statement a few weeks back that Pakistan will not default. Their broad discussions center around how is Pakistan surviving.” 

Dar said his government would try to come up with new ideas to steer the country out of the present crisis. 

“Our main purpose today is just to reassure you, that we will be coming out of [this crisis] and come up with new ideas in the weeks to come,” he said. 

“There will be the budget and after that, we will also do things for Pakistan’s long-term betterment.” 

Referring to statements by ex-finance czar Miftah Ismail about the country moving toward bankruptcy, Dar said “some people were fond of” predicting dates when the country would default. 

“They say the country would default in two to three months. They should be ashamed of themselves,” he added. 


Pakistan PM expresses sorrow over loss of hundreds of lives in India train crash 

Updated 03 June 2023

Pakistan PM expresses sorrow over loss of hundreds of lives in India train crash 

  • A deadly train crash in the Indian state of Odisha has so far killed nearly 300 people, injured 900 others 
  • Rescuers were cutting through destroyed carriages on Saturday to find people who may still be trapped 

ISLAMABAD: Pakistan Prime Minister Shehbaz Sharif on Saturday expressed grief over the loss of nearly 300 lives in one of the deadliest train crashes in India, as rescue workers searched through piles of debris and wreckage for bodies and survivors in the Indian state of Odisha. 

Nearly a dozen coaches of one train derailed late Friday and debris from some of them fell onto a nearby track, according to railroad ministry spokesperson Amitabh Sharma. The debris was hit by another passenger train, causing up to three coaches of the second train to derail as well. 

More than 288 dead bodies were recovered overnight and around 900 people were injured in the accident in Balasore district, while rescuers were cutting through the destroyed carriages to find people who may still be trapped under the debris. 

In his reaction to the tragedy, Pakistan PM Sharif extended his heartfelt condolences to the bereaved families and said he was praying for recover of the wounded. 

“Deeply saddened by the loss of hundreds of lives in a train accident in India,” the Pakistan premier said on Twitter. “I extend my heartfelt condolences to the bereaved families who lost their loved ones in this tragedy. Prayers for speedy recovery of the injured.” 

Train accidents have not been uncommon in India and Pakistan, where a majority of railway tracks date back to the pre-partition British colonial era and there has been little improvement in the department since their independence in 1947. 

A speeding train ran over revellers watching fireworks during a Hindu festival in northern India on October 19, 2018, killing at least 60 people. 

In 2016, at least 146 people died when an Indore-Patna Express train with around 2,000 people on board derailed in Uttar Pradesh, sending carriages crashing into each other. 

In June 2021, more than 60 people died when a train hurtling through farmland derailed and collided with another passenger service in Pakistan’s southern Sindh province. 


Pakistan regulator approves up to 50 percent hike in gas prices 

Updated 03 June 2023

Pakistan regulator approves up to 50 percent hike in gas prices 

  • The Oil and Gas Regulatory Authority estimates revenue requirement of $2.4 this fiscal year 
  • The regulator has proposed eliminating distinction between protected and unprotected slabs 

ISLAMABAD: Pakistan’s Oil and Gas Regulatory Authority (OGRA) has okayed up to 50 percent increase in gas prices as it calculated an estimated revenue requirement of Rs697.4 billion ($2.4 billion) to be collected from consumers this fiscal year, Pakistani media reported on Saturday, amid record inflation and economic meltdown in the South Asian country. 

The South Asian nation has been witnessing an increase in the inflation rate since late last year when the government took prior actions to comply with the conditions set by the International Monetary Fund (IMF) to revive a stalled $7 billion bailout program, stalled since November. 

Pakistan reported 38 percent inflation in May on the back of rising food and energy prices and a massive currency devaluation. The Pakistani rupee has devalued by around 30 percent since last June and played a major role in piling up the inflationary pressure. 

Gas consumers in the country are likely to witness a potential 50 percent increase in prices starting from July as OGRA concluded its determinations for two struggling state-run gas distributors and submitted them to the government, The News English-language daily reported. 

“The Sui Northern Gas Pipeline Limited (SNGPL), responsible for gas supply to consumers in Punjab and Khyber-Pakhtunkhwa (KP), will collect Rs358.4 billion,” the report read. 

“The Sui Southern Gas Company (SSGC), which supplies gas to consumers in Sindh and Balochistan, will collect Rs339 billion.” 

OGRA determined Rs1,238.68 per 1 million British Thermal Unit (mmBtu) to be the average prescribed price for SNGPL, reflecting a 50 percent increase or Rs415.11 as compared to the existing price, according to the report. 

Similarly, the average prescribed price for SSGC was set at Rs1,350.68/mmBtu, representing a 45 percent increase of Rs417.23. 

The regulator has proposed eliminating the distinction between protected and unprotected slabs for gas consumers and setting the price at 1238.68/mmBtu. 

“This change will result in a significant increase in gas prices for protected low-slab consumers,” the report read further. 

“However, two highly gas-consuming slabs will benefit from the new pricing as they were previously paying up to Rs3,100/mmBtu.” 

Interestingly, while gas will become more expensive for zero-rated consumers, gas-filling stations, cement and fertilizer plants, power stations, and independent power producers (IPPs) will experience a reduction in gas prices, according to the report. However, the feedstock gas prices for the fertilizer sector will more than double. 

The regulator has now suggested a uniform prescribed price of Rs1,238.68/mmBtu for all these categories. 

The increase in gas prices is expected to further burden the masses reeling from record inflation in the country, with many saying they have been forced to cut their kitchen spending and focus only on most essential items. 

As Pakistan’s Finance Minister Ishaq Dar prepares to present budget for the next fiscal year, financial experts have urged the government to take steps to mitigate the suffering of low-income groups. 
 


‘Embracing life’: Inspiring journey of Pakistani child battling cancer one YouTube video at a time

Updated 03 June 2023

‘Embracing life’: Inspiring journey of Pakistani child battling cancer one YouTube video at a time

  • Owais Shehzad, only nine years old, believes in celebrating life’s little wonders amid adversity
  • He finds solace in dancing and creating videos, portraying himself as any other fun-loving child

KARACHI: A young Pakistani child started sharing life’s fleeting moments on YouTube from the confines of a small room in his multistory residence in Karachi’s Baldia Town neighborhood after discovering that he was suffering from a debilitating disease.

Owais Shehzad, only nine years old, has been battling cancer for the last five years. Despite enduring intensely painful medical treatments, he found solace in dancing and creating videos, portraying himself as any other fun-loving child.

“I could neither eat nor drink, and I lost my hair and eyebrows due to chemotherapy,” he recalled, as he started reflecting on the days of enduring severe cancer treatment that caused mouth inflammation and painful blisters. “I lost my nails. It seemed like I was an alien who had come from another planet.”

“I was half-dead, yet I managed to handle the disease,” he added with a degree of pride. “My eyes sunk deep, and I could neither eat nor drink due to the blisters.”

The still image taken from a video recorded on June 1, 2023 shows Owais Shehzad, a child youtuber from Karachi, Pakistan. (AN Photo)

Owais’s battle with cancer hasn’t stopped since he has been diagnosed with a type of blood cancer in which the harmful pathogens never truly go away. However, the painful treatments he endured over the last five years have kept him alive.

His passion for dance also brought him happiness even in the darkest moments, and he served as an inspiration to fellow cancer patients at the hospital.

“My bone marrow test was done and fluid was drained through an IV injection in my back,” he said. “Even in that situation, I was dancing on the bed... I was motivating children, and they were happy to see me.”

The still image taken from a video recorded on June 1, 2023 shows Owais Shehzad, a child youtuber from Karachi, Pakistan. (AN Photo)

“Not only did it cheer me up, but it also brought happiness to the entire Indus Hospital, the children in the cancer ward, and my parents as well,” he reminisced.

Owais admitted to shedding tears, however, when he closed the door of his room, not wanting his parents to be hurt by his struggles.

He said that the road ahead remained uncertain, though he had always wanted to adopt a joyful and enthusiastic approach to life.

Nadeem Shehzad, Owais’s father and a local journalist, acknowledged that his son’s resilience uplifted the spirits of other parents when they were feeling weak.

“As a father, it was extremely difficult to witness my son in pain,” he told Arab News. “Whenever our strength and spirits wavered, we received a boost by witnessing the spirit and strength of this child.”

He informed that Owais had been diagnosed with B-all type blood cancer, with a recovery ratio ranging from two to five percent, which necessitates constant care to keep him alive.

“While treatment and care can prolong his life, the germs still remain in his body, and without complete care, they can become active at any time,” Nadeem explained, adding that it was also the reason why his son could not continue attending school.

Despite being unable to pursue education in a formal setting due to health issues, Owais’s passion for compels him to wear a school uniform and keep a bag at home.

“I wish to go to school,” he said. “However, my disease is such that I can neither sit nor stand due to the injections.”

Last year, the nine-year-old had one of his longstanding desires fulfilled when he embarked on a journey to Saudi Arabia for the Umrah pilgrimage.

“I had always wished to perform Umrah, to visit the house of Allah and witness His divine abode. Allah granted me an invitation... The experience of Umrah was truly amazing, and now I also aspire to perform Hajj,” he shared with gratitude.
Owais believes that those who remain happy even in sickness bring joy to God as well.

“May Allah grant me a long life, but whatever life I have, I’m living it to the fullest,” he said. “Currently, I am embracing life with utmost spirit and enthusiasm.”

He added that he harbors deep love for both journalism and the army, making his professional destination uncertain in life.

“Let’s see which of these two paths life takes me on,” he smiled.


Dubai-based multinational invests $6 million in Pakistan to acquire home care product manufacturer 

Updated 03 June 2023

Dubai-based multinational invests $6 million in Pakistan to acquire home care product manufacturer 

  • UAE’s New Future Consumer International General Trading completes acquisition of Zulfiqar Industries that makes famous Capri Soap in Pakistan 
  • The foreign investor says Pakistan is prioritized as part of its global business development strategy in the FMCG category with strategic partners 

KARACHI: New Future Consumer International General Trading (NFCIGT), a Dubai-based multinational company, has acquired a Pakistani home and personal care product manufacturer, Zulfiqar Industries Limited (ZIL), by injecting around $6 million foreign direct investment (FDI) in Pakistan, officials and a corporate finance adviser familiar with the deal said on Friday. 

The NFCIGT is an emerging global fast-moving consumer goods (FMCG) player with business development initiatives in the Gulf countries, Russia, and now in Pakistan with local partners. The company has acquired over 5 million, or 84.84 percent, shares of the ZIL, according to a stock filing on Thursday. 

The ZIL, incorporated as a private limited company in 1960, manufactures and sells home and personal care products, including the famous Capri Soap, in Pakistan. 

Dr. Cobus Van Rooijen, the founder and managing director of the NFCIGT, said he believed in the long-term growth potential of Pakistan despite challenges. 

“Despite the challenging times, we firmly believe in the long-term growth potential of the country,” Rooijen said in a statement on Friday. “We look forward to leveraging our global experience and resources to drive innovation, create employment opportunities, and contribute to Pakistan’s economic growth.” 

The NFCIGT chief said his company has prioritized Pakistan as part of its global business development strategy in the FMCG category. 

“ZIL Limited has Capri as a fantastic heritage brand, which provides opportunities to expand into other personal care premium categories,” Rooijen said. “We have identified Pakistan as major investment opportunity based on demographics and anticipated consumption per capita growth in key consumer categories.” 

Pakistan’s economic landscape has faced numerous challenges, including the global COVID-19 pandemic, and associated economic repercussions, followed by global commodity super-cycle given the Russia-Ukraine war, and the internal political and economic challenges. 

However, the new investor remains optimistic about the long-term potential of the Pakistani market and the investment demonstrates their commitment to contributing to Pakistan’s economic development, creating job opportunities, and fostering innovation in the FMCG sector, according to the statement. 

The share price of ZIL has increased by 86.6 percent from Rs181.67 per share to Rs339 since January 2023, according to the data available at Pakistan Stock Exchange website. 

Alpha Beta Core, a Karachi-based financial advisory and investment banking firm, facilitated the acquisition that marks a significant milestone in the global expansion strategy of investors. 

“The acquisition of a Pakistani company by a multinational FMCG player signifies an important milestone at a time when the country is facing economic crisis and needs much needed foreign exchange inflows,” Khurram Schehzad, CEO of Alpha Beta Core, told Arab News. 

Schehzad said the acquisition highlights his team’s commitment to delivering exceptional financial advisory services and ability to navigate complex cross-border transactions. 

“We are confident that our clients’ investment in the Pakistani market will yield substantial returns and create mutually beneficial partnerships,” he added. 

Schehzad said the NFCIGT aims to contribute to the growth and development of the region and countries in which it operates, including Pakistan, . 

The NFCIGT chief said he would continue to look for complementary investment opportunities with local partners. 

“Our ambitions are to extend to multiple categories in the current countries followed by market entries in other targeted geographies, including Africa and CIS (Commonwealth of Independent States),” he said.