Pakistan PM made millions in UK
THE INDEPENDENT
Tuesday 20 October 1998
BY ANDREW BUNCOMBE
AND ISAMBARD WILKINSON
in London
AND PETER POPHAM
in Islamabad
A BRITISH family has become
embroiled in the scandal surrounding the Prime Minister of
Pakistan, Nawaz Sharif, over multimillion-pound corruption
allegation.
Inquiries by The Independent have established that bank
accounts containing £5m were set up in the names of three
members of the family from Ilford, Essex. These deposits were
used to raise millions of pounds in loans which, according to
documents detailing Pakistan Police inquiries, were channelled
into Sharif family-owned businesses.
The documents, which were prepared for court actions five years
ago against several members of the Sharif family, alleged that
money was laundered through "fictitious bank accounts"
and, using family business interests, was siphoned into offshore
accounts.
The allegations against Mr Sharif, who has been Prime Minister
for the past 18 months since taking over from Benazir Bhutto, who
also faces corruption allegations, have resurfaced after the
appearance in the West of a former senior Pakistan police
officer, who is in hiding in London.
Rehman Malik, the former second-in-command of Pakistans
Federal Investigation Agency- the Pakistani equivalent of the FBI
in the United States - has produced an unofficial 200- page
report on the agencys investigations into Sharif
businesses.
The investigation into Mr Sharif and his family was originally
commissioned in 1993 by an interim government, after Mr
Sharifs dismissal as Prime Minister, which asked the agency
to investigate 13 separate allegations of corruption and money
laundering through overseas bank accounts.
Mr Malik, 46, was suspended from his post, charged with
corruption and imprisoned without trial for a year.
The criminal charges against members of the Sharif family were
dismissed in the Pakistan High Court after Nawaz Sharif returned
to power 18 months ago.
The Sharif family is understood to control four luxury apartments
in Park lane, London, worth about £3m. His son, currently
studying at Kings College London, is living in one the
properties.
The Independent has been told that bank accounts were set
up in the name of three members of the Qazi family who were close
friends of one of Mr Sharif's political allies - now a senior
government figure.
The family claims that these accounts were set up- without their
knowledge - with the assistance of this senior politician who had
lived with them at their home while he was studied accountancy in
Britain.
They claimed that the accounts were opened using copies of their
passports, which they had given him to obtain Pakistani ID cards
on their behalf. They said almost £5m was then deposited.
They became aware of the accounts only when they received demands
from various banks demanding repayments on loans totalling
millions of pounds. They insist they have done nothing wrong.
Kashif Qazi, 29, one of four brothers, said last night: "We
feel stupid. We feel totally raped by this man. We trusted him
for 30 years. We have to clear our names. We have lost our
reputation in the community."
Despite repeated requests from The Independent, London
lawyers for Mr Sharif failed to give any response to the
corruption allegations against the Prime Minister.