KARACHI – Pakistan’s famous fashion designer Nomi Ansari has been placed on the Passport Control List (PCL) in connection with a massive Rs1.25 billion sales tax fraud case.
A case was registered by the Federal Board of Revenue’s (FBR) Corporate Tax Office in April, accusing Nomi Ansari of under-declaring sales and engaging in serious financial discrepancies. FIR alleges violations under Section 2(37) of the Sales Tax Act, 1990, the clause that covers tax fraud.
Karachi-based designer now approached Sindh High Court to challenge the inclusion of his name on the PCL. During the preliminary hearing held on Tuesday, his legal counsel argued that the high court had already suspended proceedings in the tax case and that the new move violated a prior interim order.
In response, the court issued notices to the federal government and FBR officials, seeking their replies by July 8, and adjourned the hearing.
FBR claims that Nomi Ansari’s fashion label had been showing taxable sales without reporting any corresponding purchases, which raised red flags about possible tax evasion. Investigators also allege that bank records show substantial foreign remittances and large undocumented cash withdrawals under staff members’ names, indicating possible attempts to hide income and launder money.
Earlier this year, officials got search warrants and conducted raids on three outlets of Nomi Ansari’s outlet, as well as an undeclared manufacturing unit in Mehran Town, Karachi. During the raids, documents were seized suggesting that Ansari had significantly underreported his business’s actual sales volume.
Later, Sindh High Court barred FBR from taking any coercive action against the designer until further notice. The court also summoned the Deputy Attorney General and the officials responsible for filing the FIR to justify their legal authority.
Ansari claims the case violates the court’s previous stay order and lacks jurisdiction. Three others, Hussain Kazmi, Syed Ali Masoom Naqvi, and Imran, were also named in the case.
Fashion Designer Nomi Ansari under investigation for Rs1.25 billion Sales Tax Fraud
