United Mobile Group, Machiyara Group accused of massive tax evasion, money laundering

ISLAMABAD: An alleged mega-scam of financial crimes 0involving United Mobile Group and the Machiyara Group of Companies came to light in a detailed complaint submitted to Federal Interior Minister Mohsin Raza Naqvi requesting a thorough investigation and decisive action against the entities.

In a complaint, citizen Abdul Rauf Essa alleged a series of severe allegations against the aforementioned companies including money laundering, smuggling, tax evasion, and maintaining benami accounts that have allegedly defrauded the Pakistani government and affected the economy for decades.

As per documents available with Daily Ausaf, these groups have been engaging in illegal activities since the 1970s, involving high-profile individuals such as Muhammad Javed Shakoor and Ashraf Kassim Machiyara. The complaint lists extensive details of their operations, including their overseas businesses and properties.

The complainant mentioned that these groups allegedly used Hawala/Hundi networks to move vast sums of money internationally. Several offshore businesses in the UAE, such as Al-Anas Mobile LLC and Dubai Links LLC, are cited as fronts for these activities.

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Furthermore, he accused the United Mobile Group and the Machiyara Group of Companies of smuggling. The complaint highlights the involvement of United Mobile in smuggling mobile phones and other electronics through grey channels. Notably, Nokia terminated its distribution agreement with United Mobile due to its illegal activities, a case that was settled in the Court of International Arbitration in Finland, resulting in a significant financial penalty against United Mobile.

According to the sources, the complaint also mentioned the allegation of tax evasion and undeclared assets. “The groups reportedly maintained numerous fake and benami accounts to facilitate money laundering and avoid taxes,” the complainant added. The complaint details several instances of such accounts, including those managed under the names of low-income employees to disguise billion-rupee turnovers.

He further alleged that both groups mortgaged properties under litigation without the proper authorization to secure loans from Habib Metropolitan Bank Ltd., thus violating court orders and committing fraud. The complaint also exposed a list of individuals across the globe managing these illicit operations, from Dubai to the UK, USA, Africa, Canada, Australia, and Denmark.

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According to the documents available with Daily Ausaf, the complaint includes documentary evidence supporting these claims, such as partnership agreements, benami account details, and correspondence with financial institutions. It also references ongoing and previous inquiries by the Federal Investigation Agency (FIA) and the Federal Board of Revenue (FBR), which were allegedly suspended due to the undue influence of the accused parties.

The documents also mentioned the Nokia case accusing United Mobile of smuggling Nokia phones using grey channels and financing these operations through Hawala. The International Chambers of Commerce (ICC) confirmed these illegal activities, resulting in a substantial penalty against United Mobile and highlighting a turnover discrepancy of approximately USD 95.8 million.