PESHAWAR: An accountability court here has confirmed freezing by National Accountability Bureau of 38 properties of a bank cashier turned contractor and his close relatives, as he is one of the prime suspects in an ongoing probe in alleged misappropriation of more than Rs30 billion in the district accounts office, Upper Kohistan.

NAB provincial director general had issued two freezing orders on May 9 and 12, 2025, of the said properties under section 12 of National Accountability Ordinance, 1999, and had referred the same to court for confirmation.

The suspect, Mohammad Riaz, had joined National Bank of Pakistan as cashier in 2006-07 and had resigned from the service in the year 2021.

During his tenure he had served in the branches of the bank in Pattan and Dassu. He had allegedly established some construction companies in the names of his six brothers and subsequently in his name after resignation.

Contractor, relatives are accused of misappropriating over Rs30bn funds

The frozen properties included 31 immovable properties including commercial plazas, commercial plots, a farm house, residences and shops mostly in Islamabad.

These properties are in the name of Mohammad Riaz, his six brothers named Abdul Manan, Mohammad Ayub, Hizbur Rehman, Abdul Hanan, Abdul Jabbar and Mohammad Ayaz, his wife and daughter named Hussan Bibi and Safia Riaz, respectively.

The frozen properties also included seven vehicles mostly in the name of Hizbur Rehman. The accountability court judge, Rajab Ali, observed that record depicted that inquiry on charges of corruption and corrupt practices was under process.

The court said that in the given position there was every likelihood of the properties/assets being alienated/transferred which might create multiple complications, therefore, the freezing orders issued by the director general of NAB KP seemed to be genuine and in the interest of justice, as such the same were confirmed under section 12 of National Accountability Ordinance, 1999 accordingly.

The court also appointed the deputy commissioners of Islamabad and Rawalpindi as receivers for the management and safety of the frozen properties and to receive the income by maintaining separate accounts, if not already available to deal with the matter. It directed the receivers to prepare inventory of properties in question.

NAB special prosecutor Habibullah Baig appeared before the court along with an additional director, Habibur Rehman Mehsud, and an assistant director, Shahid Hussain.

The prosecutor stated that on credible information NAB had started an inquiry and during preliminary probe it revealed that officials of the communication and works department (C&W), Upper Kohsitan, in connivance with officials of district accounts office, Upper Kohistan, and NBP branch there, had misappropriated more than Rs30 billion from different projects through bogus withdrawal of funds from national treasury in the name of several contractors, who had not executed any civil work.

He said that the district accounts office, Upper Kohistan, without carrying any verification of alleged work done by the contractors, passed the cheques amounting to billions of rupees, which were deposited by the contractors in their bank accounts.

He stated that the amounts were credited, the crime proceeds were layered in different bank accounts and subsequently integrated and shared by the suspects in agreed upon proportions including by purchase of properties in question and thereby caused loss to the public exchequer.

The prosecutor contended that Mohammad Riaz and a head clerk of C&W Kohistan Qaiser Iqbal, some other officials and proprietors of the said companies in league with each other fraudulently submitted fake bills and got issued different cheques in favour of companies from head of Account “G-10113” for earnest money, security and deposit funds of local government, C&W, irrigation, public health, etc on pretext of civil work, which in fact had never been done i.e. for non- existing projects.

He alleged that from the embezzled amount the respondent (suspect) Mohammad Riaz and his benamidars had purchased the properties in question. Similarly, he stated, a brother of Qaiser Iqbal named Atif Iqbal, being his benamidar, had also purchased a vehicle.

He argued that the properties in question were disproportionate to known sources of income of Mohammad Riaz and his benamidars due to which the same were frozen by NAB.

He requested the court for confirmation of the freezing orders apprehending that in case of non-confirmation there were likelihood that the respondents might transfer/alienate the said properties, which might create complications.

Published in Dawn, May 25th, 2025