LHC issues stay order against FBR for freezing Rahat Fateh's bank accounts

LAHORE: Lahore High Court (LHC) on Wednesday issued a stay order against the Federal Board of Revenue for freezing the banks accounts and transactions of renowned singer Rahat Fateh Ali Khan.

Justice Shahid Jamil heard the case where the singer’s counsel informed the court that the FBR had acted illegal to seize the accounts of Rahat Fateh over non-payment of income tax and alleged tax evasion.

The counsel said that Rahat Fateh was a law-abiding citizen and had duly paid his taxes, despite the tax authorities accused him of tax evasion. He said that a complete record of the singer’s tax returns was present.

FBR had alleged that Rahat Fateh had set up a hidden bank account. However, the singer’s counsel denied the accusation saying that there was no concealed bank accounts or transactions.

Therefore, the counsel said the FBR had acted beyond its limits and violated the law and the individuals rights. The court issued a stay order and sought a reply from the FBR and other respondents.

FBR had said that Rahat Fateh owed accrued income tax worth Rs 3.3 million, and had seized his bank accounts to recover the amount.