PESHAWAR: An accountability court here on Saturday allowed two days additional custody of a prime suspect, Mohammad Ayub, to National Accountability Bureau in a high profile case involving the alleged embezzlement of Rs36 billion funds in the Upper Kohistan district accounts office.

Judge Amjid Zia Siddiqui directed NAB officials to produce the suspect, who owns a construction company, before him on July 28.

The deputy prosecutor general of NAB, Mohammad Ali, and special prosecutor Fahim Khan submitted an application on behalf of NAB deputy director Waqar Ahmad, who is investigation officer, to seek further custody of the suspect.

They stated that earlier 12 days physical custody of the suspect was granted by the court and during that period the accounts and properties relating to alleged illegal and unjustifiable transactions had been unearthed.

Plea bargain application of arrested person under process

They said that the suspect had also given an application requesting the bureau for a ‘plea bargain.’ They added that the said application required proper assessment/evaluation of his properties etc, therefore, further two days custody may be granted for completion of said account related inquiries.

Defence counsel Shoaib Razzaq conceded that the suspect had submitted application for ‘plea bargain’ under Section 25 of National Accountability Ordinance, 1999. Apart from present suspect, NAB Khyber Pakhtunkhwa has so far arrested six other persons in the probe.

The other arrested persons include former district account officer of Upper Kohistan Shafiqur Rehman, auditor of the accountant general office Fazal Hussain, former bank official-turned contractor Mohammad Riaz, former manager of a private bank Tahir Tanveer and contractors Doraj Khan and Fazal Rahim.

They have been arrested for their alleged involvement in the illegal withdrawal and misappropriation of more than Rs36.63 billion from the contractors’ security deposit head of an account, G-10113.

The bureau claims that on credible information it had started an inquiry and during preliminary probe it was revealed that officials of communication and works department, Upper Kohistan, in connivance with officials of district accounts office, Upper Kohistan, and NBP branch there, had misappropriated funds from different projects through bogus withdrawal of funds from the national treasury in the name of several contractors, who had not executed any civil work.

It alleged that several transactions had taken place in the bank accounts of the suspects.

NAB claims that the suspects in league with each other fraudulently submitted fake bills and got issued different cheques in favour of different companies owned by several contractors from head of account ‘G-10113’ for earnest money, security and deposit funds of local government, communication and works, irrigation and public health departments on the pretext of civil work, which had never been done.

The accountability courts have so far confirmed several NAB orders to freeze dozens of moveable and immovable properties, including luxurious residences, commercial plazas and plots, expensive vehicles and cash, including foreign currency.

Published in Dawn, July 27th, 2025