ISLAMABAD: The accountability court issued on Monday the much-awaited detailed verdict in the Flagship Investment reference in which the court spelled out reasons for acquittal of former prime minister Nawaz Sharif in the reference.

In the 69-page verdict, accountability court Judge Mohammad Arshad Malik observed: “Whilst the possibility of the accused no. 1 [Nawaz Sharif] being the real beneficial owner of the assets referred to in the assets referred to in the charge cannot be ruled out…the court is inclined to extend the benefit of the doubt to the accused no. 1. As such, while giving him benefit of doubt, I do hereby acquit him of the charge as framed against him personally.”

As per the charge sheet, the former premier had allegedly “injected an amount of GBP3.2 million in Flagship and other UK-based companies of Hassan Nawaz”. It accused Mr Sharif of being involved in “the accumulation of the above said assets” in the names of his children.

The judgement, however, declared: “In view of the specific charge framed therein against the accused no. 1, there is insufficient evidence to safely reach to the conclusion that the accused no. 1 is the real beneficial owner of the entity Flagship Investment Ltd or assets held in its name as also the other entities listed in the charge.”

Detailed verdict in Flagship Investment reference released

Judge Malik made a comparison between the evidence produced by the prosecution in the Al-Azizia/Hill Metal Establishment (HME) reference and the Flagship Investment reference.

In Al-Azizia reference, the judge convicted Mr Sharif and awarded him seven years imprisonment, besides imposing a heavy fine on him.

In the Flagship Investment, the court held: “Unlike the allegations and charge in the spate reference [HME] where there was sufficient and convincing incriminating evidence and also admitted facts (on account of the several material factors and evidence mentioned in the judgement pertaining to the said reference, including but not limited to convincing evidence of there being at least three shareholders in Al-Azizia Steel Company Limited (ASCL) and HME (and not just Hussain Nawaz Sharif claimed and accused no. 1 directly receiving in excess of 88 per cent of the admitted net profit of HME over a sustained period) to satisfy the court.”

The court order read: “The accused no. 1 held substantial beneficial interest in ASCL and HME to the extent necessary for the same to constitute and be safely held to be the assets of the accused no. 1 within the meaning of the [National Accountability] Ordinance.”

The verdict said that though the possibility of owing these assets by Mr Sharif “cannot be ruled out”, the prosecution had failed to bring substantial evidence. The order noted: “The prosecution has also been unable to bring on record evidence of transfer of remittances of funds directly from these entities to the accused no. 1 unlike in relation to HME in reference 19/20170 which in itself would have been material evidence and strong actionable indicator of the ‘assets’ being held for the benefit of another 9(i.e.) by an ostensible (i.e.) son of the accused no. 1.”

Regarding the other accused, Hussain and Hassan Nawaz, the court order said: “They have already been declared as proclaimed offenders. Perpetual non-bailable warrant of their arrest be issued against them directing the NAB to enter their names in the relevant register under intimation to this court.”

Published in Dawn, January 1st, 2019