LAHORE, July 8: An ehtesab bench of the Lahore High Court observed on Tuesday that the NAB should hire economic experts for default cases, citing a lack of professional acumen in its investigation officers.

Justice Ali Nawaz Chauhan and Rustam Ali Malik gave this observation while declaring the sentences, awarded to industrialist Asif Saigol in three wilful default references, as undergone.

The bench observed that the jail term served so far by Asif Saigol was sufficient. However, the bench maintained the quantum of fine awarded to the industrialist in the three references.

Asif Saigol was arrested by the NAB on Nov 16, 1999, when the deadline given by former military regime to the bank defaulters for settling their accounts expired.

In the three references, Mr Asif was sentenced to 31 years rigorous imprisonment and Rs90 million fine on wilful default charges. The bench upheld the decision of the trial court with regard to the recovery of fine amount from the sale of the assets of Mr Asif’s Mohib Exports and Mohib Fabric Industries.

The bench took an exception to the standard of investigation in the three references. It also expressed disappointment on the manner in which the references were finalized.

The bench recommended an inquiry against investigation officer Akram Ali Shad for acting in an irresponsible manner which had resulted in defeat of legal requirements.

It ruled that although the Supreme Court’s orders — making it mandatory for the NAB to obtain a certificate from the State Bank governor before trying any accused on wilful default charges — were not applicable to the pending cases, yet it would still be proper for NAB to engage economic experts for the scrutiny of these cases.

The bench warned that poor investigations would result in impeding across-the-board implementation of anti-corruption laws.

The bench further ruled that despite the clear instructions of the Supreme Court in Asfandyar Wali case, the government had failed to ensure proper investigation and an in-house accountability system. The Anti-Corruption Act was a much better drafted law but failed because of its poor implementation.

Regarding merits of the case, the court observed that Mr Asif’s desire to pay off his liabilities was quite visible during the arguments stage. The court also agreed to the explanation of Mr Asif with regard to the general economic conditions prevailing at the time his companies defaulted.

“We find that a factor beyond his control was the economic condition while the default mainly took place at a time when the NAB law was not in existence. The then general approach was to take things easy as at that time the civil liabilities were not allowed to be converted into criminal liabilities,” it said.

The three references filed against Mr Asif were true cases of wilful default but all the court could do was to give the benefit of extenuating circumstances to him by declaring the total jail term as undergone.

In the first reference, Mr Asif was sentenced to 10 years in jail with Rs20 million fine on July 7, 2001, for having committed default of Rs208 million with regard to finance facility availed from the Pakistan Industrial Leasing Corporation in the name of Mohib Exports.

The second reference pertained to Rs10.65 million default committed in the name of Mohib Exports after the loan was procured from the Askari Commercial Bank. The petitioner was awarded seven-year rigorous imprisonment with Rs10 million fine on Aug 4, 2001.

In the third reference, Mr Asif was sentenced to 14 years rigorous imprisonment and Rs60 million fine on June 17, 2002, for having defaulted wilfully in payment of Rs54 million loan availed from the Allied Bank in the name of Mohib Fabric Industries.