Federal and state agencies in the United States are investigating two Pakistani-American businessmen, along with their associates, for suspected money laundering, wire fraud, and tax evasion. The investigation centers on allegations of setting up questionable company structures to launder proceeds of black money. Two companies, Riceland Investment Group LP (a Texas limited partnership) and Mecca Farms Group LLC (a Texas limited liability company), are at the heart of these investigations for creating complex and potentially unlawful arrangements designed to evade taxes and launder money for the benefit of the individuals controlling these companies.
Involvement of Riceland Investment Group and Mecca Farms Group
Riceland Investment Group, initially founded by Syed Rashid Ali in Texas, entered into a dubious partnership in 2015 with Mecca Farms Group, owned by Muhammad Tahir Javed, a businessman and former advisor to the Interim Prime Minister of Pakistan. This partnership granted Tahir Javed complete ownership of Riceland Investment Group and 51% control of Mecca Farms. U.S. investigators suggest that the situation may be more complicated than it appears. Both Syed Rashid Ali and his brother Syed Shahid Ali, as well as Muhammad Tahir Javed, have a history of running afoul of American laws, involving fraud and embezzlement convictions. This includes a notable investigation into a $35 million COVID-19 relief scheme scandal involving the U.S. Justice Department.
The scandal deepens with links connecting Muhammad Tahir Javed, a former Pakistan Tehreek-e-Insaf leader in the U.S., to a brutal murder plot of a close relative in Pakistan. Javed denies these allegations, but his career remains shadowed by controversy. He was removed from his position as an advisor to Interim Prime Minister Anwar-ul-Haq Kakar just days after his appointment due to an undeclared prior conviction in the U.S.
Read More: Dubai Business Tycoon Sues Norwegian Tabloid for Defamation
Alleged Fraudulent Schemes and Financial Misconduct
According to evidence gathered by investigators, it was agreed that Tahir Javed, described as an “Investor” and convicted felon, would purchase a 55% membership interest in Mecca Farms on a fully diluted basis for $2,465,000. The purchase required an initial payment of $500,000, with the remaining amount to be paid as needed by Mecca Farms within five days of any request for funds. However, investigators believe this arrangement was fraudulent. Documents show that while Javed claims to have paid $200,000, the remaining $2,245,000 has not been paid.
Federal investigators suspect that this scandal is related to the $35 million COVID-19 relief scheme scandal, with allegations that Syed Rashid Ali conspired with Tahir Javed to cover up the conspiracy. Under the terms of the takeover agreement, Javed was made Chairman of the Board of Managers, which included individuals mainly from Houston, such as Mohammad Shahid Javed, M. Israr Ahmad, Dr. Amir-ul Islam, and many others.
Links to the COVID-19 Relief Scheme Scandal
The complex structure established for Mecca Farms has raised suspicions and grounds for investigation by American authorities. The probe links back to the $35 million COVID-19 relief scheme corruption scandal from December 2021, in which a federal grand jury in Houston charged and sentenced multiple individuals for fraudulently obtaining and laundering millions of dollars in forgivable Paycheck Protection Program (PPP) loans. These loans, guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, were intended to help businesses retain employees during the pandemic.
Fifteen individuals across two states were charged in the conspiracy. According to court documents, Syed Shahid Ali of Sugar Land, Texas, conspired with others to submit over 80 false PPP loan applications by falsifying employee numbers and payroll expenses. The defendants sought over $35 million in PPP loans and obtained around $18 million. The indictment alleged that the defendants laundered a portion of the loan proceeds by issuing checks from companies that received PPP loans to fake employees, including some of the defendants and their relatives. Nearly all accused pleaded guilty to wire fraud, money laundering, and aggravated identity theft before going to trial.
Additional Investigations into Financial Crimes and Murder Allegations
The COVID-19 Fraud Enforcement Task Force, established by the U.S. Attorney General in May 2021, is assisting in the investigation focused on the Javed brothers, the Ali brothers, and their accomplices. Investigative papers show that Sayed Shahid Ali received loans of $566,778 and $522,800 through Riceland, ostensibly for offering free COVID-19 shots through his hospital, for which the federal government paid $35 per patient. However, investigators believe that Shahid Ali was collaborating with Tahir Javed, taking the indictment upon himself to protect his partner, Javed.
Thousands of miles away, in Toba Tek Singh District, Pakistan, authorities are investigating the murder of a villager in 2008. Wahab Anwar, son of Anwar Ahmad from Tehsil Pir Mahal in Toba Tek Singh, was allegedly shot by Muhammad Tahir Javed after being employed at Javed’s Lahore home. Anwar died from his injuries three days later. The police got involved, but Javed reportedly settled with the victim’s family through a plea bargain, paying them off and arranging the victim’s sister’s marriage to his nephew. This case is now under review by senior Pakistani investigators following revelations of Javed’s fraudulent activities in the press.
Past Crimes and Further Investigations
Former Interim Prime Minister Anwar Kakar’s office had initiated a probe committee that established that Javed had hidden his past convictions in the U.S. and lied about his credentials. The intelligence report further disclosed that Javed, who had once supported Imran Khan’s Pakistan Tehreek-e-Insaf (PTI), later criticized Khan to gain favor with Kakar’s cabinet. Javed had also pledged to donate $50,000 to former army chief General Qamar Javed Bajwa’s flood relief fund in 2020, but his check bounced due to insufficient funds.
Texan court records reveal that Javed was sentenced to five years of deferred imprisonment for felony theft in 1994. Additionally, he received warnings from the Food and Drug Administration (FDA) in July 2017 for violations related to his tobacco business, Royal Smoke LLC. His advertising and labeling practices were found to be outside the scope of the law, leading to the potential threat of criminal prosecution.
Javed’s attempts to run for public office have been marred by controversy. In 2023, he announced his candidacy for the Fort Bend County Precinct 3 position but withdrew after facing an investigation by the Texas Ethics Commission. His 2018 congressional campaign is also under scrutiny for allegedly manipulating voter rolls by transferring the domiciles of his family members and friends to increase his voter base.
Ongoing Financial Controversies and Potential Consequences
The controversy surrounding Javed extends to allegations of insurance fraud, with claims that he used his own hospital for fraudulent surgeries involving family members. On the day of the supposed surgeries, social media posts showed the family attending a social event, triggering a red alert among investigators. Should he be found guilty, Javed could face another felony charge that might lead to a revocation of his U.S. citizenship, a potential 15-year jail sentence, and possible deportation back to Pakistan.
Further investigations are also underway regarding a scandal involving the Pakistan Super League team, Lahore Qalandars, related to a financial scandal of approximately 500 million rupees (USD 1.8 million). Court papers filed in Texas detail that Javed and his company, TJ Properties, failed to fulfill contractual obligations regarding the sale of plots at a residential society in Pakistan.
The legal battles continued in both Texas and Pakistan, where Javed and his partners failed to meet contractual commitments agreed upon with Qalandars Marketing (Private) Limited. Lawyers representing Lahore Qalandars have indicated the possibility of further legal action. Sources suggest that American federal agents have communicated with Pakistani authorities regarding this matter, although details of the progress remain undisclosed.
Close sources to Tahir Javed and Syed Ali confirmed ongoing communication with federal investigating agencies, expressing their intention to fully defend the case. They also criticized the new investigation’s connection to the $35 million COVID-19 relief fraud. Meanwhile, federal agents have kept a close eye on Javed’s conduct for several years, indicating a broader investigation that may continue to unfold.
This article was received directly from the reporter.