Concise statement filed in SC: Imran rejects tax evasion allegations

Chairman Pakistan Tehreek-e-Insaf Imran Khan turned down the allegations levelled by Pakistan Muslim League (Nawaz) leader Hanif Abbasi, saying that he never concealed any fact from Federal Board of Revenue (FBR) and Election Commission of Pakistan (ECP). On Tuesday, Imran's counsel filed a concise statement in the Supreme Court in response to Abbasi's plea seeking the disqualification of the PTI chairman from the Parliament on grounds that Khan allegedly failed to declare his offshore companies before the Election Commission of Pakistan.
The matter has been fixed for hearing on November 30 (today) before a three-member bench of Chief Justice Anwar Zaheer Jamali, comprising Justice Amir Hani Muslim and Justice Ijazul Ahsan. Naeem Bokhari filed a statement on behalf of Khan through Advocate on Record Chaudhry Akhtar Ali, saying his client had paid all the applicable taxes on his entire income through playing county cricket and working with Channel 9 UK, adding that Khan received payments from the country cricket and Channel 9 after deduction of all applicable taxes at source.
Bokhari said that it was non-Pakistan source of income of the Khan whilst he was not a tax resident in Pakistan during the period of 1977 to 1979. "Flat No 2 of 165 Draycott Avenue, London SW3, UK, was purchased for £117,000 in the year 1983, out of the income earned outside Pakistan by Imran Khan as a professional cricketer and on which taxes were duly paid. Since purchase of property in the UK is undertaken through solicitors, Imran Khan was advised that the London Apartment be placed in the name of a juridical entity with the Imran Khan remaining its sole beneficial owner, having paid the entire sale price. Consequently, Niazi Services Limited (NSL) was incorporated with only asset of the London Apartment. Three shares each were held by three other companies who submitted the requisite returns," Bokhari said.
Bokhari submitted that his client married Jemima Goldsmith in 1995 and divorced her in June 2004; however, during the year of 2002 Jemima Goldsmith and family moved to the UK where Khan spent more time. He further submitted that Khan put up the London apartment for sale with the intent that the sale proceeds from the apartment, would in large part, fund the purchase of the land in Bani Gala on which the family residence was to be constructed. Bokhari said that after deduction of costs and expenses of the sale, the net proceeds received by Imran were £690,307.79.
He revealed that Imran entered into an agreement to buy Bani Gala land on March 13, 2002 for a total consideration of Rs 435 million, adding that Imran Khan initially paid an amount of Rs 6.5 million from his available resources in Pakistan as part of payment of the purchased price, with the intention to fund the balance purchase price for the Bani Gala land from the sale proceeds of the London apartment.
Bokhari said that Jemima Khan had provided funds to enable Khan to pay instalments of the land as short-tem loan with an understanding that Khan will repay the amount to Jemima in the UK upon completion of the sale of the London apartment from the sale proceeds. He further said that funds (foreign exchange) were remitted on the orders of Jemima Khan from time to time to the bank accounts of the representative of Imran Khan, adding that all the funds were declared by the authorised dealer to the State Bank of Pakistan upon being converted to equivalent Pakistani currency upon receipt in Pakistan.
Imran Khan's counsel said that upon completion of the sale of London apartment in March 14, 2003, Imran Khan repaid and returned the equivalent amount to Jemima Khan in the UK. Urging the court to dismiss Hanif Abbasi's petition, the PTI chairman requested the apex court to award special and exemplary costs to him.