November 10, 2008	Monday	Ziqa'ad 11, 1429

LAHORE, Nov 9: Javed Khanani, a director of a leading foreign exchange company, was remanded in the custody of the Federal Investigation Agency for one day on Sunday.

The FIA presented him before duty magistrate Javed Akram Baitu and obtained his physical remand for interrogation. He will be taken to a sessions court on Monday for extension in remand.

Mr Khanani and another director of Khanani and Kalia International, Munaf Kalia, and two employees of its franchise, Rustam Ali Khan and Tariq Mahmood, were arrested from Lahore, Karachi and Gujranwala last week for ‘illegally’ transferring foreign currency abroad.

Rustam and Tahiq were already on physical remand, while Mr Kalia was in the custody of the FIA in Karachi.

“We have asked the Punjab home department to request its counterpart in Sindh to hand over Mr Kalia to the FIA, Lahore” an official told Dawn. He said an FIA team was interrogating Mr Khanani.

Two forensic experts arrived here on Sunday to analyse computer record which had been taken into custody from the accused. The team will submit its report to the FIA chief in two to three days.

“Future raids and arrests in this connection will be made in the light of information retrieved from the data,” the official said, adding that the crackdown on money changers involved in illegal transactions would have ‘no negative consequences’ on remittances by expatriates, rather it would ‘improve’ the foreign exchange position.

Replying to a question, the official said the FIA had taken action after collecting sufficient evidence to lay hands on one of the main money changers involved in illegal business.

The main charge against the accused is that they were involved in ‘physical’ transfer of foreign currency from Pakistan and ran the illegal ‘Hawala or Hundi business’.

According to sources, several political leaders and bureaucrats were also involved in the illegal transfer of foreign currency.

Some money changers who normally did business on Sundays remained closed for fear of FIA raids. According to one of their representatives, their business will remain closed on Monday as well.