TransPeshawar seeks contempt action against FBR, BOK officials

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PESHAWAR: TransPeshawar, the operator of the Peshawar Bus Rapid Transit service, has filed a contempt petition with the Peshawar High Court against officers of the Federal Board of Revenue and Bank of Khyber for allegedly transferring a disputed amount of Rs85.175 million from its account to government treasury as income tax despite the issuance of a court stay order.

The company filed the petition through its assistant manager (financial services), Mohammad Saddam, with deputy commissioner Inland Revenue Peshawar Zone Mohammad Ashraf, inspector Inland Revenue Kausar Khan and branch manager of BOK Peshawar Cantt Abid Hameedas respondents.

The petitioner has requested the court to initiate contempt proceedings against those three officials, saying they should be punished in accordance with the law.

On June 29, while hearing a petition of TransPeshawar against the disputed income tax, a high court bench had directed the respondents not to transfer any amount from the petitioner’s bank account or otherwise recovered from him until the next date of hearing.

Claims disputed amount transferred from its bank account to treasury despite stay order

The bench had fixed July 9 for next hearing into the petition.

The contempt petition, filed through advocate Nasir Hussain, said that the petitioner had instituted the petition that was pending adjudication before the high court.

The petitioner insisted that the court, in the presence of assistant attorney general Rahat Ali on June 29, while calling comments from respondents in the main case, issued an order in a miscellaneous application, stopping the respondents from transferring or otherwise recovering any amount from its bank accounts.

It said that the respondents knew about the restraining order when it was passed by the court and that it was also communicated to its bank i.e. Bank of Khyber, Main Corporate Branch, Peshawar Cantt. via email and WhatsApp on June 29.

The petitioner contended that the respondents, despite being aware of the restraining order, ignored the same and, through illegal means and abuse of authority and in clear violation of the order, transferred an amount of Rs85.175 million into government treasury from the pool account maintained by it for the safe custody of the amount collected from commuters through the sale and recharge of Zu Cards and single journey tickets.

The petitioner said that the amount that was transferred to the government treasury by the respondents being funds of the general public couldn’t be transferred from the pool account for any of its alleged liabilities in general and after the restraining order of the court in particular.

It said that the act of the respondents by transferring the amount from the pool account despite the restraining order spoke of the fact that respondents had undermined the authority of the court, which squarely fell within the ambit of the contempt of the court.

In the main plea, the petitioner said that it had filed income tax returns for the year 2025 on Jan 1, 2026, declaring Rs36.71 million as the tax chargeable on income.

It, however, said on June 27, 2026, it was formally informed by the department that the returns for 2025 hadn’t been properly declared and that the income for the year was much higher than the one disclosed in the returns and thereby, entailing further tax liability.

The petitioner contended that neither any assessment order was passed against it nor had the returns filed by it been amended.

It claimed that it didn’t receive any notice under Section 122 of the Income Tax Ordinance, 2001.

Published in Dawn, July 6th, 2026