Key Takeaways
- Retired Colonel Khalil ur Rehman, Bahria Town’s Vice Chief Executive, has been jailed.
- Conviction under the Foreign Exchange Regulation Act (FERA) involves illegal transfer of funds.
- Sentence includes one year imprisonment and Rs. 500,000 fine for each convicted individual.
A court in Pakistan has sentenced Bahria Town’s Vice Chief Executive, retired Colonel Khalil ur Rehman, to one year of simple imprisonment and a fine of Rs. 500,000 for his involvement in an illegal money transfer case involving approximately Rs. 1.7 billion. The conviction was made under the Foreign Exchange Regulation Act (FERA).
The case against Colonel Khalil ur Rehman, along with alleged hawala agent Muhammad Imran alias Imran Kaka and property dealer Muhammad Mushtaq Ahmed, stemmed from an investigation by the Federal Investigation Agency (FIA) Corporate Crime Circle in Islamabad. The charges were registered on July 9, 2025, under Sections 4, 5, 8, 9, and 23 of FERA.
According to official documents reviewed by ProPakistani, the accused were found guilty for sending approximately Rs. 1.7 billion abroad through hawala/hundi channels instead of authorised banking routes. The prosecution alleged that these funds were transferred illegally to facilitate payments for various Bahria Town projects, bypassing Pakistan’s regulated foreign exchange system and without State Bank of Pakistan approval.
During the trial, the court examined evidence presented by the prosecution, which maintained that the accused had violated foreign exchange laws by using informal money transfer networks. The court concluded that the charges against all three accused were established beyond reasonable doubt and awarded them the prescribed sentences under FERA.
Bahria Town has not yet issued an official statement on this case. ProPakistani will update readers once a response is received from the company.
This conviction highlights ongoing efforts by regulatory bodies to combat illegal financial activities within major real estate projects in Pakistan, ensuring compliance with national and international financial regulations.
