KARACHI: A federal tribunal in Karachi has annulled Benami property cases worth billions of rupees against several directors of the Omni Group, ruling that the Benami Transactions (Prohibition) Act, 2017 cannot be applied retroactively to property deals executed before the law came into effect.
The Federal Appellate Tribunal (Special Bench Karachi) held that the Benami Adjudication Authority had acted beyond its legal powers by confiscating assets linked to transactions that took place prior to 2017, when such arrangements were not unlawful under Pakistani law.
In its judgment, the two-member bench stated that applying the Benami Act to older cases was beyond legal authority, adding that such retrospective enforcement violated the principle of legality.
The ruling covered multiple assets and companies linked to Omni Group directors Muhammad Younus Kodwai, Aslam Masood, Abdul Ghani Majid, and Khawaja Salman Younus. Among the properties and shares cleared by the tribunal were:
Doctor Plaza Plot No. Z-C33, Scheme 35, Saddar (M/s Princeton Builders and Developers Pvt Ltd)
22.64 million Shares of Thatta Cement Company Limited (M/s Sky Pak Holding Pvt Ltd)
7 million shares of Thatta Cement (M/s Rising Star Holding Pvt Ltd)
Commercial Plot No. 216, Dr. Daud Pota Road, Karachi (M/s Marshall Homes Builders and Developers Pvt Ltd).
A 3,220-square-yard property in Civil Lines Quarters, owned by M/s Plaza Enterprises Pvt Ltd
The bench ruled that these properties were not subject to confiscation, as the underlying transactions occurred before the Benami Act’s enforcement in 2017.
The tribunal further clarified that assets declared under the 2019 Asset Declaration Ordinance (Amnesty Scheme) also could not be seized under the Benami framework.
In strong remarks, the bench observed that both the Benami Adjudicating Authority and the Initiating Officer had exceeded their jurisdiction, noting that the proceedings contained “basic legal flaws” and could not withstand judicial scrutiny.
As a result, all confiscation orders against Omni Group directors were set aside, effectively closing one of the most high-profile chapters in Pakistan’s ongoing benami property investigations.
The decision is expected to have wide legal implications for other pending cases initiated under the Benami Transactions Act against assets acquired before 2017, setting a precedent for future enforcement actions.