The charge against the accused is that they not being a banking company or a corporation or authority established by the Federal Government or company duly authorised in this behalf by the Controller of Capital Issues and Corporate Law Authority or the Registrar Co-operative Societies, invited deposits of money from the public 'through advertisements, in violation of section 27-A and thereby committed an offence punishable under section 83(1-D) of the Banking Companies Ordinance, 1962.
2. Messrs National Corporation, accused No.1 is a partnership firm with absconding accused Shaikh Khalid Younis and accused Farrukh Kamal Zuberi absconding accused Shaikh Khalid Younis and accused Farrukh Kamal Zuberi as its partners. The accused No.1 inserted/got inserted advertisements in Daily Jang Karachi, dated the 11th, 22nd and 24th February, 1988, inviting deposits of money from the public in contravention of section 27-A of the Banking Companies Ordinance, 1962, and accused Shaikh Khalid Younus and Farrukh Kamal Zuberi have, thus, rendered themselves liable to be punished under section 83(1-D) of the said Ordinance. The accused who were provided an opportunity to explain their position submitted their reply which was not found satisfactory and consequently on 8-12-1988 a complaint for the said offence was filed before this Court. Repeated efforts wore made to secure the attendance of both the accused persons.
Accused Shaikh Khalid Younus could not be served and consequently a proclamation under section 87, Cr.P.C. Was issued against him. An order under section 512, Cr.P.C. Was passed and the case proceeded against accused Farrukh Kamal Zuberi.
3. Charge under section 27-A read With section 83(1---D) of the Banking Companies Ordinance, 1962, was framed against accused Farrukh Kamal Zuberi and he was asked whether he pleads guilty or has any defence to make. The accused pleaded not guilty and claimed a trial. At the trial the prosecution examined Muhammad. Rafique Khan, Banking Officer (P.W.1), and then closed the side.
4. The accused met the charge with .a denial. He did not step, into the witness box and also led no defence.
5. Points for my determination in this case are as follows:-
(i) Whether the accused inserted advertisements in Daily `Jang' Karachi, dated11-2-1988, 22-2-1988 and 24-2-1988 (Exhs:5, 6 and 7)?
(ii) Whether the accused invited deposits of money from public through (Exhs.5, 6 and 7), in contravention of the provisions of section 27-A of .The Banking Companies Ordinance, 1962?
6. My findings on the above points are as under:-
(i) Not proved.
(ii) Not proved.
REASONS
7. POINTS NOS.1 AND 2.
Since the evidence on both these points is common, hence for the sake of convenience they are being discussed together.
H. According to the case of the prosecution M/s. National Corporation is an unregistered partnership firm carrying on business at 2-G, Block 11, P.E.C.H. Society, Karachi. The letter of Registrar of Firms dated 12th June, 1988 (Exh.4) makes this position clear. The address of M/s. National Corporation, accused No. 1, shown in complaint (Exh.10) is also at 2-G, Block II, P.E.C.H. Society, Karachi. The advertisements (Exhs.5, 6 and 7) on the basis of which accused Farrukh Kamal Zuberi was prosecuted, however, bear the following address:- "National Corporation (Registered) 826-827, Central Commercial Area, Block No.2, Off Allama Iqbal Road, opposite Jheel Park, P.E.C.H. Society, Karachi, Phone No.444706:"
It is thus clear that National Corporation which had made advertisements being a registered firm, with different address had no concern with M/s. National Corporation (unregistered) carrying on business at 2-G, Block 11, P.E.C.H. Society, Karachi. The following admissions made by Muhammad Rafique Khan, Banking Officer (P.W. 1), who is the only witness in this case are self-explanatory:- "The address mentioned in Exh.4 in respect of accused No. l is 2-G, Block 11, P.E.C.H.S. Karachi. There is also mention in it that the Firm is not registered, but it has applied for registration. I sec Exh.5, advertisement made by National Corporation (Registered), 826-827 Central Commercial Areas, Block No.2, Off Allama lqbal Road, Opp. Jhcel Park, P.E.C.H.S. Karachi. I see Exh.8, this notice was sent to National Corporation (Registered) on the address shown on Exh.5 and not on Exh.4. I see Exh.9.
This letter was also replied by National Corporation (Registered), showing the same address, which was mentioned in Exhs.5 and 8. We have filed complaint against National Corporation, a partnership firm, carrying on business at 2-G, Block-11, P.E.C.H.S., Karachi and not against the firm, to whom notice was given vide Exh.8. I see the record and say that no advertisement inviting deposit: of money was made by accused No.1."
9. It appears that the State Bank of Pakistan has filed this complaint without proper verification and has failed to acknowledge the fact that the firm to which notice (Exh.8) was issued is National Corporation (Regd.), 826-827, Central Commercial Area, Block 2, Off Allama Iqbal Road, Karachi, whereas the criminal proceedings were initiated against Messrs National Corporation, 2-G, Block 11, P.E.C.H. Society, Karachi, an unregistered partnership concern. Accused Farrukh Kamal Zuberi was thus dragged in this case unnecessarily.
10. Keeping in view the, above facts and circumstances, I am clear in my mind that the charge against accused Farrukh Kamal Zuberi is groundless. He is accordingly acquitted and is discharged from his bail-bond.
11. The case against absconding accused Shaikh Khalid Younus be kept