This archive report was first published on 18 December 2019.
Malik Riaz Hussain, one of Asia's richest men and largest real estate developers, has seen his bank accounts frozen and assets seized by British authorities in a major crackdown on financial crime.
According to reports, Hussain's company, Bahria Town Limited, owns vast gated communities, shopping malls, cinemas, and other structures, employing over 160,000 people and housing over a million individuals across 60,000 acres of prime land in Asian cities.
However, Hussain's rise to wealth has been shrouded in controversy, with allegations of luck and business acumen playing a significant role in his success. Despite dropping out of high school due to his father's bankruptcy, Hussain managed to secure contracts with the Pakistani military, eventually becoming a billionaire.
But Hussain's luck ran out when British authorities froze his bank accounts holding over £20 million in December last year. By August, a total of £190 million had been frozen, and a £60 million mansion in London was seized.
Over the course of seven months, nine court orders were issued against Hussain, suspecting that the assets were proceeds of crime and money laundering. In August, Hussain entered into a settlement deal, forfeiting £140 million in cash and the mansion, with the frozen £190 million returned to Pakistan to pay for outstanding court fines and awards.
The use of Unexplained Wealth Orders (UWOs) by British authorities has been hailed as an innovative strategy in combating financial crime. These orders allow authorities to seize assets suspected of being linked to crime, without the need for prosecution.
As Kenya struggles with an 'arms race' between criminals and law enforcement, the use of UWOs offers a promising solution. The EACC, ODPP, and DCI must evaluate the effectiveness of traditional strategies and consider innovative approaches like non-conviction-based seizure and forfeiture of questionable assets.
By adopting such strategies, Kenya can make significant strides in combating corruption and impunity, and bring financial criminals to justice.
