No disqualification on skipping insider trade: SC

Plea against Tareen

ISLAMABAD -  Chief Justice Saqib Nisar on Tuesday questioned whether every violation of law is dishonesty.

The Chief Justice heading a three-judge bench posed the question during a hearing of PML-N leader Hanif Abbasi’s petition against Pakistan Tehreek-e-Insaf General Secretary Jehangir Tareen for having offshore company, insider trading and agriculture income tax.

Azid Nafees, representing PML-N leader Hanif Abbasi, in counter a question asked the court whether breach of fiduciary duty is not dishonesty. He said Tareen was disqualified from the directorship of Jamal Din Wali Sugar Mills. He said that the PTI leader has accepted wrongdoing of insider trading and returned money and also paid penalty.

Hanif Abbasi claimed that Tareen acquired 341.780 shares through the Messrs Haji Khan and Allah Yar, who were his gardener and cook. He made gain of Rs70.811 million through sale of his shareholding in the USML, in stock market and under public offer made by the JDW in October 2005. At that time, Tareen was holding portfolio of minister of industries, the PML-N leader further claimed. When the SECP caught the PTI general secretary he not only returned the gain but also paid Rs1.2 million as fine.  He said that Tareen has violated Section 15A read with 15B of Security and Exchange Ordinance, 1969. He said even if there is no section 15A and 15B then he has violated the section 224 of Companies Ordinance, 1984.

The court noted that no one can be disqualified as a result of not mentioning insider trading in the nomination paper. Azid said on the basis of insider-trading, Tareen is not ‘Ameen’, as people had reposed trust in him. He said that the PTI leader has lied about the insider trading.

About agriculture income tax, the counsel of PML-N leader contended that Tareen has mis-declared about the agriculture income tax in his nomination paper filed in 2013.

Azid said that according to the Tareen’s counsel arguments, his client had been declared winner in by-election 2015 and he could not be disqualified on the basis of whatever he had mentioned in the nomination paper 2013.

While in the Supreme Court judgment SCMR 2013, Azid said, the parliamentarian was disqualified on the basis of his mis-declaration made in 2008 nomination paper.

Justice Faisal Arab said if they accept second nomination paper of Tareen then it shows no dishonesty. The chief justice said Tareen noted ambiguity in the nomination papers and filled whatever the income tax he had paid as he did not know difference between the agri-income tax from own land and the leased land.

Azid said that Tareen is not that simple because in the Punjab he paid less agriculture income tax while in the FBR had shown higher income tax and the behind it that there was no system of cross-check.

The chief justice questioned what is the repercussion if someone pays less income tax? Azid contended the court instead of entering into manseria (intention) it should disqualify a person on the basis of mis-declaration in the nomination papers.

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