Altaf Hussain and MQM Leaders Face £1.5m Fine from UK Court
Court Issues Judgment Against MQM Leadership for Nonpayment of £1.5 Million to UK Government
A court in the UK has issued a judgment against the current and former senior leadership of Muttahida Qaumi Movement (MQM), including Altaf Hussain and Syed Tariq Mir, for nonpayment of nearly £1.5 million to the UK government’s tax and income department, known as His Majesty’s Revenue and Customs (HMRC).
The judgment, issued by Northampton County Court’s Judge Henley, came after the HMRC filed a civil tax and income dispute against the MQM leadership. The judgment stated that Mir, Hussain, and Kalimullah are ordered to pay a total sum of £1,476,406.06, while the claim against Iftikhar Hussain proceeds as a contested claim.
The judgment allows the MQM defendants to apply to have the order set aside, varied, or stayed since it was made without notice. It’s important to note that the judgment does not imply guilt or criminality, as it is a civil case dating back several years.
The case against the MQM leadership by HMRC originated from an investigation into money laundering and income tax evasion. Although Scotland Yard found no evidence of money laundering after a four-year investigation, they discovered that the MQM had received donations from Pakistan and around the world, which were considered income by the HMRC. The case revolves around the non-payment of Pay As You Earn (PAYE) taxes.
The MQM argued that as a non-incorporated body, it was exempt from paying income tax. However, this disagreement over taxation became a source of dispute between Hussain, Mir, and the late Muhammad Anwar, who handled the MQM’s finances for over a decade.
The UK government’s HMRC determined that the MQM leaders had evaded taxes by failing to pay nearly £2 million to the national exchequer over a 20-year period. Three years ago, the HMRC fined the MQM £2 million for income tax evasion. Hussain has contested the case, arguing that he is not responsible for the negligence of his colleagues in maintaining proper accounting books.
Mir, who was involved with the MQM’s finances until 2012, stated that he had nothing to do with the taxation matters of the party and will present his case before the HMRC through his lawyers.
This ongoing case highlights the complex tax and income issues surrounding the MQM and its leadership. The outcome of the case will have significant implications for the parties involved and may shed light on the financial practices of political organizations.
