A case has been registered against Faisalabad Electric Supply Company (FESCO) Chief Executive Officer Muhammad Amir Pannu and his three sons over alleged tax evasion and money laundering involving more than Rs. 320 million.
The case was registered by the Directorate of Intelligence and Investigation Inland Revenue in Faisalabad, according to a report published by ProPakistani. The allegations concern changes to asset declarations, the transfer of funds and the acquisition of properties allegedly linked to taxes evaded during 2025 and 2026.
The three sons named in the case are Muhammad Hadi, Muhammad Saad and Muhammad Ibrahim. Other related individuals have also reportedly been included in the investigation.
Pannu has rejected the allegations as presented, saying the matter concerns his inherited properties, whose value was declared as taxable income. He has also said he will contest the case registered by the Federal Board of Revenue (FBR).
What the FIR Alleges
According to the first information report (FIR), investigators suspect that taxes allegedly evaded during 2025 and 2026 were converted into assets through gifts and property purchases made in the names of the CEO’s sons.
The investigation reportedly examines how the assets were declared, how funds were transferred and whether the stated sources of wealth can be substantiated.
The FIR alleges that changes were made to earlier asset declarations, raising questions about the reported cash holdings and the financial records submitted in previous years.
The case also covers the alleged purchase of agricultural land and other assets in Faisalabad and Chiniot.
These allegations form the basis of the investigation. They have not, by themselves, established criminal guilt, and the claims will need to be tested through the legal process.
Questions Raised Over Earlier Asset Declarations
One of the key aspects of the case concerns the asset declarations reportedly submitted by Pannu for earlier tax years.
According to the FIR details cited in the report, Pannu declared Rs. 3.5 million in cash in his 2014 tax declaration. The declared cash amount was allegedly increased later to Rs. 733 million, while his reported income for that year stood at Rs. 1.139 million.
Investigators are examining the changes to these declarations and the circumstances in which the additional amounts were recorded.
The reported discrepancy has become a central element of the allegations, as authorities seek to establish whether the declarations were accurate and whether the assets could be supported by lawful sources of income.
The investigation also concerns how the reported changes relate to subsequent asset transfers and property acquisitions.
The allegations remain subject to investigation, and the circumstances behind the revised declarations will be important in determining the case.
Sons Named Over Alleged Gifts and Property Transfers
The FIR reportedly alleges that gifts worth billions of rupees were declared in the names of Pannu’s sons during 2025 and 2026.
Authorities are also examining purchases of agricultural land and other properties in Faisalabad and Chiniot as part of the broader inquiry.
According to the allegations, changes to asset declarations and transfers of funds may have concealed the original sources of certain assets.
Investigators will need to examine the relevant financial records, property documents and gift declarations to establish how the assets were acquired and whether the transactions complied with applicable laws.
The naming of family members in the case does not independently establish wrongdoing. Their respective roles and any liability will depend on the evidence and the legal proceedings.
Case Registered Under Money Laundering Law
The case has been registered under the Prevention of Money Laundering Act, 2010.
The law provides a framework for addressing money laundering offences, while the present investigation concerns allegations of tax evasion, asset declarations and the movement of funds.
The authorities are examining whether the alleged transactions and reported financial discrepancies constitute offences under the applicable legal provisions.
Further proceedings will determine how the evidence supports the allegations and what action, if any, is justified under the law.
The case also highlights the role of tax authorities in examining discrepancies between declared income, reported wealth and asset ownership.
FESCO CEO Says He Will Contest the Case
Responding to the allegations, Pannu said the matter concerned his inherited properties and maintained that their value had been declared as taxable income.
He said he would contest the case registered by the FBR.
His response presents a different position from the allegations outlined in the FIR, making the examination of relevant documents and financial records a key part of the process.
The matter will now depend on the evidence reviewed by investigators and the proceedings that follow. Any final determination of liability must be made through the applicable legal process rather than inferred solely from the registration of a case.
What Happens Next?
The investigation is expected to focus on the disputed asset declarations, the reported gifts to family members and the acquisition of properties in Faisalabad and Chiniot.
Authorities will need to establish the source of the assets, examine the relevant tax records and determine whether the alleged transfers and declarations violated the law.
The case has drawn attention because it involves the serving head of a major electricity distribution company and members of his family. However, the allegations must be distinguished from proven findings.
For now, the case remains an allegation of tax evasion and money laundering, while Pannu has stated that he intends to challenge it.
The legal process and the evidence presented by both sides will determine the outcome.
Also read: FESCO Opts To Revoke CNICs And Passports Due To Electricity Theft
