In a case involving cryptocurrency fraud, a Karachi court issued an arrest warrant for Wakar Zaka without bail on Thursday. In connection with an investigation into alleged crypto-related transactions, the Federal Bureau of Investigation (FIA) seized his Zaka from his bank account earlier this year.
When the case was brought before the court, the former TV host did not appear. Zaka, who is said to be on the run to avoid arrest in the case, has been ordered by a judge to be arrested by the Bureau without bail.
Judicial (Eastern) Magistrate Mukesh Kumar took up the case against Zaka, who is leading a campaign to make cryptocurrencies legal tender in Pakistan, on Thursday. The judge moved the hearing to January 5, 2023, and instructed the FIA prosecutor to submit a report on the execution of the warrant by the following day. According to the Cyber Crime Circle, after receiving a source report from the Financial Monitoring Unit (FMU), an investigation was launched against him in August 2020.
He claimed that the information gathered by his FIA from the relevant banks indicated that he had observed transactions exceeding Rs. His debts totaled Rs 87.1 crore, and it included loans totaling Rs 86.1 crore.
The funds were credited to the family’s accounts via internal transfers after being deposited into these accounts via international wire transfers (interbank transfers) and check clearing, according to bank statements.
The FIA claims that Zaka raised 6.8 million rupees through money orders and interbank transfers by using social media for charity and international fundraising.
The numerous news articles, blogs, and videos that reveal the accused Waqar Zaka’s involvement in cryptocurrency and virtual assets were discovered on a public database. During the investigation, posts on his Twitter account that were related to Bitcoin and other cryptocurrencies were discovered. The accused also promotes cryptocurrencies like Bitcoin through YouTube channels.
It stated that after reviewing the report, obtaining documents such as copies of bank records and institutions, and hearing oral evidence, it had been established that the accused had committed the offense of virtual assets trading fraudulently and dishonestly, in violation of the country’s prescribed law, and facilitated the use of virtual assets to transfer and generate funds.
According to the agency, after reviewing the report, obtaining documents like copies of the bank records and institutions, as well as oral evidence, it had been established that the accused had committed the offenses of virtual assets/cryptocurrency trading and facilitating the use of virtual assets to transfer funds and generate profits in violation of the country’s prescribed law.
It went on to say that after the investigation began and the accused was summoned, he started spreading false propaganda about the state’s institutions and was found to be engaging in illegal activities on social media by posting objectionable content and comments about the institutions, making threats to government officials, and enrageing the public against the state.
According to the FIA, Waqar Zaka was allegedly found guilty of violating the Foreign Exchange Regulation Act of 1947, the Anti-Money Laundering Act of 2020, the Pakistan Penal Code, and the Pakistan Electronic Crimes Act, 2016.