KASB Bank Case

Local Bank director involved in couple of other scams including money

laundering and misuse of public money.
This Bank Khadim Ali Shah Bukari was acquired by Bank Islami for Rs. 1000/and this all effort was led by director who alleged involved in money
laundering.

The scam came to light as Bank Islami, after the acquisition,

evaluated KASB's accounts and found the reason behind the
latters financial crisis was a huge money laundering scam, in
which the advisor to the Chairman KASB Bank, Nasir Ali Shah
Bokhari was involved
Bokhari allegedly laundered money to various countries with
the help of a fake company, Worldtel Asia Limited, which was
registered and set-up in the Cayman Islands on April 17, 2000,
and was later renamed as Silk Route Investments on February
18, 2004.
The company, and the bank accounts were registered under
the name of a Singaporean national, Shahzad Fakhar Ashfaq,
who allegedly worked as a front man for Bokhari.
According to the complaint filed by Bank Islami with the
Federal Investigation Agency (FIA), Silk Route Investments
opened five bank accounts in KASB Bank, four in foreign
currency and one in Pakistani rupees. The bank's director, Nasir
Bokhari, through these bank accounts laundered over Rs5
billion to China, Germany and Iran.

DawnNews correspondent Javed Chaudhry told the host and the audience that the
complaint filed by Bank Islami states that many a times money was received through a
self cheque, which Fakhar never took himself, which is a clear violation of international
banking standards.

One more thing, no one objected upon the dissimilarity in account holder's signatures on
passport, cheques and other documents, as they did not match," he said during the show.

The reporter further said that Bank Islami has requested the FIA to enter Bokharis name
on the Exit Control List (ECL), but no action has been taken so far.

When asked, Barrister Ali Rana, another guest in the show said, Although it is easier for
FIA to make arrests while a suspect is in Pakistan, the agency can send a written request

to Interpol for issuance of red warrants for the accused, who have fled the country in any
case.
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Malik Bostan, Chairman Exchange Companies Association of Pakistan, was also

contacted regarding the case, who claimed that all the exchange companies in the country
are working legally.

"However, we need strict banking laws to stop money laundering. Companies only need
to aquire permission from State Bank of Pakistan (SBP) to transfer money. This
permission is not required for personal account holders., said Malik Bostan.

KASB Bank Ltd was acquired by Bank Islami Pakistan Ltd (BIPL) on May 07,
after the federal governments approval.

KASB Bank had been in trouble since 2009 as it failed to meet the Minimum
Capital Requirement (MCR) and Capital Adequacy Ratio (CAR). The case
became complicated when a Chinese company showed interest in buying the
bank but the request was turned down by the SBP.

The merger made Bank Islami the 11th largest bank in the country with a
network of 317 branches in 93 cities across the country and more than 600,000
customers.