— Fawad says no foul play in purchase, sale of luxury items gifted to former PM by Saudi royal family
ISLAMABAD: A day after a Geo News programme accused Imran Khan of selling gifts he received from foreign leaders while in power, the former prime minister on Wednesday denied the allegation and vowed to file a lawsuit against the TV station, its anchor Shahzeb Khanzada and a businessman purportedly involved in a banking fraud for defamation.
A set of a specially crafted watch, gold pen, ring, and cufflinks — gifted to Khan by Crown Prince Mohammed Bin Salman of Saudi Arabia — were apparently sold off for $2 million to Umar Farooq Zahoor, a Dubai-based Pakistan-origin businessman.
Zahoor made the claim in Khanzada’s political chat show Aaj Shahzeb Khanzada Kay Sath which airs on Geo News, a subsidiary of Jang Group. He, however, did not offer any evidence to back up the accusation.
The allegation could have been explosive if only Zahoor, according to a Norwegian newspaper, did not have a chequered past. He purportedly defrauded a bank of $89.2 million in the Norwegian capital of Oslo in 2010 — and remains a wanted man in the Scandinavian nation — after allegedly remaining involved in another fraudulent scheme worth $12 million in Bern city of Switzerland in 2004.
“Enough is enough. Yesterday, Geo [and] Khanzada supported by handlers slandered me through a baseless story cooked up by a known fraudster [and] internationally wanted criminal,” said Khan in a tweet.
“I have spoken to my lawyers [and] I plan to sue Geo, Khanzada [and] the fraudster not only in [Pakistan] but also in the UK [and] UAE.”
Enough is enough. Yesterday Geo & Khanzada supported by Handlers slandered me through a baseless story cooked up by a known fraudster & internationally wanted criminal. I have spoken to my lawyers & I plan to sue Geo, Khanzada & the fraudster not only in Pak but also in UK & UAE.
— Imran Khan (@ImranKhanPTI) November 16, 2022
The fiasco centres on a government department known as Toshakhana, which during the Mughal era referred to the “treasure houses” kept by the subcontinent’s princely rulers to store and display gifts lavished on them.
Members of the government must declare all gifts, but are allowed to keep those below a certain value.
More expensive items must go to Toshakhana, but in some cases, the recipient can buy them back at around 50 percent of their value — a discount Khan raised from 20 percent while in office.
In a written submission to the Election Commission of Pakistan (ECP), Khan said he purchased items worth nearly Rs22 million ($1 million), and later sold them for more than twice that amount.
He said the valuation was done through proper channels.
‘NO FOUL PLAY’
Also on Wednesday, hours before Khan sent out the tweet, Fawad Chaudhry, senior vice president of Pakistan Tehreek-e-Insaf (PTI), made a similar announcement in a press conference, insisting there was no conclusive evidence of foul play.
He, however, acknowledged the gift was sold — but “legally” and in the “market”.
During the press conference, Chaudhry, who was accompanied by party leaders Shireen Mazari and Zulfi Bukhari, said the party “always stood against corruption in Pakistan,” and “we hold ourselves accountable just as we hold others accountable.”
“Imran Khan went to Saudi Arabia for the first time [after assuming the top office] in 2018 and when he met the king, he was gifted a watch,” he recalled.
“The gifts are received by the chief of protocol, the prime minister has nothing to do with these matters,” he explained. “The prices of these gifts are then determined by the Toshakhana, which sends them to the concerned Prime Minister’s Office in a regular manner where it is clearly mentioned what the value of each item is,” he further said.
“This law has been in place since before the PTI government’s tenure,” the former minister said. “In fact, earlier only 20 percent of the original price was to be paid to the state, but our government raised it up to 50 per cent so that the national treasury could benefit”.
“The watch was received by the chief protocol of the Foreign Office. The same officer deposited this gift in the depository of the Cabinet Division,” he added.
“The evaluation of the watch set by the Cabinet Division had roughly been Rs0.1 billion, and 20 percent of that price was paid whereby this gift became Imran Khan’s personal possession,” Chaudhry said.
Khan later sold the item for Rs57 million in the local market and capital gain tax was also paid for that accordingly, as mentioned in Imran Khan’s tax returns and as declared to the ECP, he said.
