The Directorate General of Intelligence and Investigation of the Federal Board of Revenue (FBR) has revealed a significant money laundering case involving a group of companies operating under the guise of “HSJ Construction” and the residential project “HSJ ICON.” An FIR has been lodged against these companies, and the case falls within the scope of the Anti-Money Laundering Act, 2010.
The accused entities include M/s HSJ Builders and Developers, which comprises individuals engaged in predicate offenses. These individuals are associated with two interconnected companies, one generating illicit proceeds and the other facilitating the placement and integration of these proceeds through an unregistered intermediary.
The money laundering activities amount to over Rs. 3.5 billion, with funds that should have gone to the government exchequer allegedly used to finance the development of the HSJ ICON project. Karachi’s Customs Intelligence Regional Office has filed an FIR in this regard.
The investigation is ongoing to determine the involvement of other directors, partners, owners of the HSJ Group of companies, and their associates and facilitators. The unlawful activities include the removal of iron and steel waste from a private bonded warehouse, with significant discrepancies in the quantity of goods removed and the associated duty and tax payments.
As of June 30, 2023, surcharges amounting to Rs. 665.31 million have been calculated, and the cleared goods’ value reaches Rs. 2.178 billion. Further inquiries are being conducted to ascertain the full extent of involvement by the directors, partners, and owners of the identified organizations.
This case highlights the need for thorough investigations and legal actions to combat money laundering activities in the country.
