The State Bank of Pakistan (SBP) has submitted the terms of reference (ToR) for the assets' recovery before the Supreme Court.
The terms were filed by a standing committee — initially constituted by the Chief Justice of Pakistan as a three-member committee — on Saturday in a suo motu hearing of the case regarding undisclosed foreign assets held abroad by Pakistani citizens.
The committee constituted to take appropriate action for the recovery of the undisclosed foreign assets comprises the following:
The committee can co-opt any other member, as it deems appropriate.
According to the ToR, a copy of which is with Dawn.com, the committee will initially proceed based on information available with the Federal Investigative Agency (FIA) about assets of Pakistani citizens in UAE. It will also review the information available with the FBR regarding assets of Pakistani citizens in the UK.
The committee will submit a monthly progress report to the SC starting from the end of September, 2018. It has decided to constitute a joint task force (JTF) consisting of representatives of the FIA, FBR, NAB and other such agencies.
The task force, based on the ToRs submitted in the SC, will proceed in the following manner:
It will summon the persons identified by the committee for personalhearings. Failure to appear before the JTF will result in the namesof the evaders being submitted to the SC in the committee's monthlyreports.
The persons appearing before the JIT will be asked to confirm if theyor their dependents own reported foreign assets. Otherwise, they mustsubmit an affidavit testifying that the said assets do not belong tothem.
In the event of the submission of such an affidavit, the FIA orrelevant agency will approach the concerned authorities to initiateproceedings under anti-money laundering legislations, BenamiTransactions (Prohibition) Act, 2017 or any other relevant law.
If ownership of the foreign assets is acknowledged by the personsunder inquiry, details about the sources of funds and whether theassets have been declared in wealth statements will have to beprovided.
If the sources of funds are found to be legitimate, but either duetax was not paid or the assets were not duly declared, the FBR willlevy and recover the due tax from such persons.
In cases where the funds cannot be traced back to legitimate sourcesor the persons are unable to explain the sources used to acquire thefunds, the JTF will ask the relevant law enforcement agency to pursuesuch cases. If it is established that the assets were acquired fromproceeds of crime, the law enforcement agency may initiateproceedings to confiscate such assets.
The next hearing is due to take place tomorrow [Monday].