Malik Riaz moves SC to halt Bahria Town property auction

FIA uncovers money laundering by Bahria Town: Tarar

ISLAMABAD: Bahria Town founder Malik Riaz has approached the Supreme Court in a bid to halt the auction of his company’s properties scheduled for August 7, filing an appeal against a recent Islamabad High Court decision.

Senior lawyer Farooq H. Naek submitted the appeal on Riaz’s behalf, urging the apex court to suspend the auction process until a final verdict is reached. The petition also seeks the overturning of the IHC judgment that allowed the auction to proceed.

The move comes a day after Malik Riaz issued a public statement via social media platform X (formerly Twitter), claiming that recent actions by government agencies have severely disrupted Bahria Town’s operations and plunged the company into financial crisis.

In his statement, Riaz alleged that authorities had taken multiple coercive actions, including freezing the company’s bank accounts, impounding staff vehicles, and arresting dozens of employees. As a result, he said, cash flow had collapsed, making it impossible for the company to provide routine services.

“We are unable to pay staff salaries, and we are now being forced to consider a complete shutdown of Bahria Town operations across Pakistan,” Riaz stated. He described such a move as a last resort but said the situation had deteriorated to a critical level.

Calling for dialogue, Malik Riaz appealed for a chance to return to what he termed a “dignified and serious resolution.” He expressed willingness to participate in any form of arbitration and committed to fully complying with its outcome, including any financial settlement mandated.

Meanwhile, Minister for Information and Broadcasting Attaullah Tarar has said the Federal Investigation Agency has uncovered irrefutable evidence of money laundering involving billions of rupees by Bahria Town and Malik Riaz.

In a video message on Wednesday, he disclosed that evidence of money laundering amounting to worth one point one two billion rupees was retrieved during an FIA raid conducted yesterday, which is sufficient to expose the entire network. The Minister revealed that Safari Hospital had been used as a front office to conceal cash and official records. Additionally, the hospital’s ambulance was employed to transport documents and money.

He added that staff members at the hospital attempted to destroy the documents. Although some records were lost, the majority of evidence was successfully seized by the FIA. This evidence is linked to a network operating through hundi, hawala, and money laundering channels. Attaullah Tarar emphasized that using a hospital as a front and employing an ambulance to move sensitive documents and cash is a matter of grave concern.

He noted that Khalil, who oversaw Bahria Town’s operations, is currently in custody. Similarly, individuals named Imran and Qaiser were found to be operating a hundi-hawala network, with established connections to Bahria Town’s Chief Financial Officer and Director of Finance.

The Minister described the scheme as a sophisticated and well-organized network through which illicit funds were being illegally transferred abroad from Pakistan.

He added that the FIA’s investigation is progressing, with locations of several individuals already identified. He urged the suspects to present themselves before the law, noting that comprehensive evidence has been collected against them.

Attaullah Tarar assured that the rights of Bahria Town residents remain protected as legal action is being taken solely against individuals directly involved in money laundering and unlawful activities.— NNI