Axact CEO Charged in Money Laundering Case – Research Snipers

Axact CEO Charged in Money Laundering Case

Axact Chief Executive Officer Shoaib Shaikh and other accused in the money laundering case have been charged by additional district and sessions court.

Along with Shoaib Shaikh, Mohammad Junaid and Younis have also been indicted during the case hearing by District and Sessions judge (South). The suspects denied the allegations placed upon them but the evidence spoke to the contrary.

The charges placed on the Axact CEO were of illegally transferring Rs170.17 million to Chanda Exchange Company, a Dubai-based firm in April 2014. He and others with him were accused by the Federal Investigation Agency (FIA).

On February 26th, 2018 the Sindh High Court rejected the protective bail application of Axact CEO and arrested him.

It was in May 2015 the Axact scandal surfaced when The New York Times published a report claiming that the leading IT company in Pakistan is selling fake degrees and diplomas online to numerous schools and it is making “tens of millions of dollars annually”.

In August 2017, Assistant Vice President of Axact Umair Hamid was jailed for 21 months along with a fine of $5,303,020. He pleaded guilty in the Axact fake degree Scam.

US Attorney said on this issue “Operating from Pakistan, Umair Hamid helped fraudulently rake in millions of dollars from unwitting American consumers who paid to enroll in, and get degrees from, high schools and colleges that did not exist. As a result of his fraud, people who thought they were investing in an education received nothing more than worthless diplomas and a harsh lesson in the worldwide reach of deceit.”

Also read: PIA has 24 active pilots with fake degrees

In Pakistan, in January 2018 the Chief Justice Mian Saqib Nisar took suo motu notice of the Axact fake degree scandal. It was then decided that those involved in the scandal will be held accountable and today Axact CEO has been indicted in the money laundering case.