The Federal Investigation Agency (FIA) has registered a criminal case over an alleged fraud exceeding Rs. 6.6 billion committed by Innovative Biscuits Pvt Ltd’s company directors, and banking officials.
According to the FIR, the suspects allegedly created multiple benami bank accounts using identities belonging to unrelated individuals.
These accounts were used to channel sales revenues of a private biscuit manufacturing company in an attempt to conceal income and avoid paying taxes.
The funds were first deposited into accounts maintained at one commercial bank before being shifted to accounts at another institution, from where big cash withdrawals were carried out.
Accounts were allegedly operated through proxy signatures despite biometric verification requirements. Interestingly, a bank employee helped facilitate both the account opening process and the multi-billion rupee sham operation
The FIA said the alleged scheme caused heavy financial losses to the national treasury.
The case has been registered under various provisions of the Pakistan Penal Code and the Prevention of Corruption Act.
One banker has been arrested while efforts are underway to trace and identify other individuals connected to the case.