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In a shocking development, billions of rupees have allegedly been siphoned from Pakistan’s Federal Consolidated Fund (FCF) without the approval of the federal government. The scandal has raised serious concerns about constitutional violations, weak oversight mechanisms, and the misuse of judicial authority.


Court Suspends Order After Scandal Surfaces

The issue came to light when the Peshawar High Court suspended an earlier order issued by a lower court in Nowshera. The order had directed the attachment of funds from the FCF, sparking questions about the legality of such withdrawals.

According to insiders, the scheme has been running for months—possibly years—under the guise of “judicial compensation.”


Violation of Article 78 of the Constitution

Legal experts point out that the practice is in direct violation of Article 78 of the Constitution of Pakistan, which clearly states that no money can be withdrawn from the national treasury without the approval of the National Assembly.

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Instead of following this constitutional process, certain groups are allegedly using fraudulent methods to access the fund, bypassing parliamentary oversight entirely.


Exploiting Families of Disaster Victims

Investigations suggest that this racket operates by exploiting tragedies such as natural disasters and road accidents.

  • Families of victims are often approached without their knowledge or consent.
  • Court cases are filed in their names.
  • Compensation orders are then secured from local courts.

Shockingly, these orders are issued without involving or notifying the federal government, allowing fraudsters to cash in on the suffering of unsuspecting citizens.

Unauthorized Billions Taken from Pakistan’s Federal Fund Sparks Constitutional Crisis


Role of State Bank Under Question

Even more troubling is the alleged involvement—or negligence—of the State Bank of Pakistan (SBP).

Sources claim that courts have been directly instructing the federal government to release payments, which are subsequently forwarded to the SBP. The central bank has reportedly been executing these orders without verifying their legality or seeking mandatory federal approval.

This practice, if proven true, effectively makes the SBP a silent enabler of unauthorized withdrawals from public funds.


Sindh Identified as Hotspot

Sindh has reportedly become a hub for such fraudulent claims. Dozens of questionable cases have surfaced, leading to large-scale unauthorized withdrawals from the treasury.

Officials warn that if left unchecked, this could not only drain billions from the national exchequer but also undermine trust in the financial and judicial systems.

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Silence from State Bank of Pakistan

Despite repeated queries, the State Bank of Pakistan has not issued an official response to the allegations. Its silence has further fueled speculation about the depth of the problem and the possible complicity of officials within the system.


Calls for Accountability

The revelations have triggered widespread calls for:

  • A federal-level investigation into the fraudulent scheme.
  • Strict accountability for those involved, including any complicit officials.
  • Stronger financial oversight mechanisms to ensure that no withdrawal can take place without parliamentary approval.

Experts argue that the scandal represents not just a financial crime but a direct assault on the Constitution, demanding urgent intervention by both the judiciary and executive branches of government.