‘She threw us into hell’: Pakistani victims of $1.9 million Ponzi scheme narrate their ordeal

In the file picture taken on May 13, 2019, a currency exchange vendor adjusts Pakistani currency notes as he waits for customers on a street in Karachi. (Photo courtesy: AFP/File)
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Updated 10 December 2022
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‘She threw us into hell’: Pakistani victims of $1.9 million Ponzi scheme narrate their ordeal

  • Victims, mostly women, say they deposited money as part of over 100 ballot committees run by Sidra Humaid
  • Humaid, the treasurer, has requested Karachi court to provide her security after declaring herself bankrupt

KARACHI: Anila Khan, a 33-year working woman living in the southern Pakistani city of Karachi, is scheduled to undergo surgery in March but her plans to go under the knife were shattered, when she came to know that she has been a victim of a multimillion ballot committee (BC) scam and has lost her deposit of Rs150,000 ($672), instead of receiving Rs600,000 ($2,688) for her surgery. 

Khan is one of hundreds of victims of the Ponzi scheme, which has so far not been officially reported to the authorities. 

The BC is an ages-old traditional method of saving outside of banking systems in which individuals pool money, often without any written record. Under the mechanism based on mutual trust, an individual receives the amount on their turn every month and it goes on until all the people involved are paid off their due sums. 

Khan, who had been a regular depositor since September, didn’t know that her plans would fall apart until she came across a “public apology” on the Facebook account of Sidra Humaid, the woman behind the now-famous Ponzi scheme, which has swindled hundreds of people, mostly women, of approximately Rs430 million ($1.93 million) as per the victims’ estimations. 

“She deceived me. She threw us into hell,” Khan told Arab News this week. “I am distraught and feel like being backstabbed.” 

She said she was not even sure of getting back the amount she had deposited in the last three months, let alone a sum of Rs600,000 she was supposed to get on her turn. 

In the Facebook post on November 27, Humaid informed her depositors she had “messed up” her committees and was now “practically bankrupt” with no means to pay the amount owed to them. 

“To solve the monthly payments issue I had to start more committees and that eventually resulted in a rolling loop that had no end,” she wrote. 

“Now I have to pay so much money that I cannot even calculate.” 

Her post dropped like a bombshell on members of over 120 committees she was running, with each member pitching in from Rs5,000 to Rs400,000. 

Humaid said if she was supported in her handcraft and home-cooked food businesses, she would be able to earn and pay off the amount. 

“If my Croise and Daily Bites are allowed to continue and my customers, friends and loved ones still support my businesses, then I would be able to earn and pay off my loans,” she stated in the post. 

But the treasurer did not have a plan or offer a timeframe to pay back people she had taken the huge sums of money from. 

Humaid also said she or her family had no properties, and they wouldn’t run away, but the victims said they came to know of her travel history, including a few trips abroad, and later found out she had vacated her home in Karachi as well. 

Humaid first began inviting people to join her BCs via Facebook some four years ago, according to victims. Members would deposit their amount into her bank account every month and each one of them would monthly receive a consolidated sum of BCs from the rest in their respective accounts on their turn. 

Humaid would also create a WhatsApp account of members for coordination after the launch of a BC. All this continued without any complaints from members until August this year, when Humaid started failing to keep her commitments. 

On December 6, she again took to Facebook and informed depositors she had requested a Karachi court to provide her security against what she called “continuous threatening calls, continuous visit of gunda (goon) sort of people” at her place. 

Humaid’s counsel, Kamran Alam, told the court that his client was being accused of doing an online financial fraud even though she neither sold any product nor used any advertisement on online platforms. 

To pursue their case, the victims said they created a WhatsApp group where people shared their distressing stories. 

The WhatsApp group has now turned into a “mourning meetup” group, with voice notes of women crying and desperately asking for help. 

“Sidra deceived us only after building trust for many years,” said Saima Gul, another victim of the Ponzi scheme. 

“I had several successful BCs over the last three years, which prompted me to start a committee of Rs30,000 ($133) for myself and another wherein my brother would deposit Rs300,000 ($1,335).” 

Gul said she was saving up money to perform Umrah, while her brother joined the BC to pay off the loan he had obtained for the construction of his home. 

“Not only do our problems remain unsolved, but we also practically lost Rs1.1 million ($4,896) of our hard-earned money,” she said. 

Another victim, Sonia Rashid, who contributed to a committee her share of Rs15,000 for two months, said when she listens to the stories of other victims, it makes her forget her own ordeal. 

“There is a woman being kicked out by her husband. Another lady said she was contemplating suicide,” Rashid told Arab News. 

“A working lady started BC of Rs50,000 ($222) per month for her marriage next November, she cries at night after disclosing it to her brother. You can’t imagine our pain. This lady has robbed us of our dreams.” 

Arab News tried reaching Humaid on her mobile phone, but it remained switched off on Thursday and Friday. 

Victims say Humaid occasionally comes online on WhatsApp groups to assure them of returning their money. Many of them are not even sure if they will get back their money in the absence of a written agreement. 

But Omar Memon, a noted lawyer in Karachi, said a formal agreement was not necessary for every financial matter. 

“As per the law, there can be a verbal agreement. All one needs is circumstantial evidence of the financial relationship,” he told Arab News. 

Memon suggested that the victims should immediately approach the Federal Investigation Agency (FIA), whose cybercrime and financial crimes wings deal with such issues. 

“The victims should also approach the State Bank of Pakistan (SBP), which may check the bank accounts [of Humaid] and freeze them,” he said. 

“The central bank will see if she has laundered any amount abroad and will also check the possibility of funding any proscribed organization.” 

When contacted, Shehzad Haider, a deputy director at the FIA cybercrime wing, said the agency had not received any complaint regarding the matter. 

Abid Qamar, an SBP spokesman, said such saving schemes prevail outside of the banking systems only due to a lack of knowledge on people’s part. 

“People should utilize the presence of the banking sector which offers various instruments for saving purposes,” he said. 

Editor’s note: The names of the victims have been changed on their request.


Excitement and caution as 2025 Pakistan Super League begins tomorrow

Updated 5 sec ago
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Excitement and caution as 2025 Pakistan Super League begins tomorrow

  • Islamabad United, defending champions and most successful franchise in PSL history with three titles, will face-off against Lahore Qalandars
  • Hosting the ICC Champions Trophy in an already crowded cricket calendar has squeezed PSL into a direct clash with the Indian Premier League

DUBAI: The 10th edition of the Pakistan Super League is set to open in Rawalpindi on April 11. Islamabad United, defending champions and the most successful franchise in PSL history with three titles, will face-off against the Lahore Qalandars. Sadly, it has been hard to ignore the off-field issues which have overshadowed the anticipatory excitement.
The PSL finds itself at a crossroads. Hosting the ICC Champions Trophy in an already crowded cricket calendar has squeezed it into a direct clash with the Indian Premier League. This scheduling challenge has affected the build-up and player availability.
While Pakistan Cricket Board CEO Salman Naseer has remained optimistic, the situation is acute. The PSL is striving to carve out its identity amid the growing sea of franchise leagues around the world. Once regarded as the second-best franchise tournament, it now faces fierce competition for the status.
Against that background Pakistan’s cricket remains fractured, with political instability and infighting within the board making the headlines. In a recent podcast, Multan Sultans owner Ali Khan Tareen, publicly criticized the PCB and the PSL’s management for “embracing mediocrity,” further highlighting the divisions within the sport. If the PSL is to overcome these hurdles and thrive, it will need everyone to unite for its future.
Another obstacle facing the PSL is player drain. Apart from the concurrently running IPL, the England and Wales Cricket Board has adopted a harder line toward releasing its contracted players for overseas tournaments during the English season. This means many top overseas stars are tied to either the IPL or county contracts, leaving PSL teams with weaker rosters than previously. Nevertheless, the PSL has consistently brought joy to the nation through homegrown stars like Babar Azam, Fakhar Zaman and Naseem Shah.
They will need to step up and fresh new talents must make their mark to help prove the PSL can be more than just a domestic competition. There is no doubt it has established itself within the country’s cultural identity.
Aspirations to become a truly global product have been tempered by the growth of other franchise leagues, especially ILT20 and SA20. Given that the PSL franchises are subject to renewal and expansion after this 10th edition, the next few weeks will be crucial in determining whether the PSL can attract continued investment at home, let alone international viewing figures to support any claim to be global. Competing head-on with the IPL for such viewers places pressure on the players to play attractive and meaningful cricket.
The Karachi Kings look able to do this. They are led by David Warner, supported by James Vince, and appear to be a formidable side, with a well-rounded squad that covers the essential aspects of the game. Their pace attack is both potent and varied, offering a range of threats. The spin bowling department is equally strong, providing the perfect balance of options for different match situations. A batting lineup containing Kane Williamson combines power-hitting with finesse and possesses the flexibility to adapt to any challenge.
Adding to the team’s strength is new head coach Ravi Bopara, who brings a wealth of experience and a long-standing connection to the franchise, dating back to the first edition as a player. This new dynamic signals a promising future, with the Karachi Kings looking well-positioned to make a deep run in the tournament.
Peshawar Zalmi have received a timely boost with the news that Saim Ayub has recovered from an injury sustained in South Africa. He is set to open the batting alongside Babar Azam, who will be eager to rediscover his best form after a recent period of struggle. In the bowling department, Zalmi are likely to lean heavily on their spin attack, with the trio of Yaqoob, Mumtaz and Sufyan Muqeem expected to play key roles. While the team has the potential to reach the knockout stages, I do not foresee them having quite enough firepower to mount a serious challenge for the trophy.
Defending champions Islamabad United, true to style, boast a squad brimming with power hitters. I fully expect them to continue playing an aggressive brand of cricket. The addition of Matthew Short will significantly strengthen their batting lineup and their pace attack will be spearheaded by Naseem Shah, a key player who will lead from the front. However, Shadab Khan’s role will be crucial in maintaining the right balance within the team. He has struggled with the ball for a while and must find a way to regain form if Islamabad are to successfully defend their title. I expect them to be strong contenders.
Lahore Qalandars have experienced both ends of the spectrum in the PSL, finishing bottom of the points table a record five times yet securing back-to-back titles in 2022 and 2023. This season, there is a shift in the coaching setup after Aqib Javed moved on to a national team role. Darren Gough was initially set to take over but pulled out at the last minute, leaving Russell Domingo to step in.
In the early years of the PSL, the Qalandars attracted some of the biggest names but struggled to find consistency. This year’s squad lacks players of that ilk who could propel them to the top. Captain Shaheen Shah Afridi has faced challenges with his form, adding further pressure. However, there are a few bright spots, such as young Rishad Hosain, who could prove an exciting prospect. Lahore will also be hoping Daryl Mitchell can make a significant impact. Despite these potential positives, I expect the Qalandars to face challenges and run the risk of a bottom two finish.
Multan Sultans seem to have a well-balanced squad, with a solid mix of aggressive batters and touch players. Their all-rounders, particularly Michael Bracewell, have been in excellent form, adding depth to both the batting and bowling departments.
Young Akif, who recently represented Pakistan, comes into the tournament with a keen sense of pace and confidence, while Hasnain will be eager to make a significant mark with his new team.
Having been runners-up for the past three years and champions in 2021, Multan has a proven method, consistently challenging for the top spot. A combination of a well-rounded team and a sound strategic approach should enable them to challenge Karachi Kings for the title once again. Whether it is sufficient to claim the crown remains to be seen.
Quetta Gladiators have struggled to make an impact on the PSL over the past five years. With Sarfaraz Ahmed stepping into the coaching role, replacing Shane Watson, the franchise is hoping for a fresh direction. However, their recruitment strategy over the years has left much to be desired, with the decision to let go of promising young players in favor of loyalty to the seniors.
The early success of the Gladiators was built on familiarity, with many players having come through the ranks in local club cricket. However, as other teams modernized and built strong cultures, Quetta has remained stagnant, failing to evolve in the same way.
This season, they will hope New Zealand’s Mark Chapman can inject some much-needed firepower into the batting lineup, while 42-year-old Shoaib Malik will be relied upon to bring his vast experience to guide the middle order. On the bowling front, Kyle Jamieson’s height and pace should pose problems for opposition batters. However, despite these additions, it is difficult to see Quetta’s fortunes turning around this season.
On the cusp of PSL X 2025, I have a personal note of hope — that agendas and off-field distractions are few and far between, allowing the focus to shift squarely onto the tournament. After the disappointment of the Champions Trophy and the sub-standard national team performances of late, both the country and the PSL need a successful 10th edition. This will raise spirits overall and make the PSL an attractive investment space as it enters a second decade.


Pakistan PM directs inclusion of business sector input in budget preparation

Updated 10 April 2025
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Pakistan PM directs inclusion of business sector input in budget preparation

  • Shehbaz Sharif chaired a review meeting of the Export Facilitation Scheme to determine how to improve its effectiveness
  • The incumbent government will be presenting its second federal budget in June after assuming political power last year

ISLAMABAD: Prime Minister Shehbaz Sharif on Thursday instructed the government to include suggestions from the industrial and business sectors in the upcoming budget preparation while chairing a meeting to review the country’s exports, his office announced.
The move signals the government’s intent to adopt a more inclusive approach in shaping fiscal policy for the next financial year, as it faces pressure to revive economic growth, attract investment and address concerns from the private sector.
The incumbent government will be presenting its second federal budget in June after assuming power last year.
“Consultation with industries and business organizations should be included in the preparation of the upcoming budget and their suggestions should be incorporated into it,” the PM Office quoted Sharif as saying following the meeting on the Export Facilitation Scheme, a policy initiative by the Federal Board of Revenue simplifying the import of raw materials, machinery and input goods for exporters, with minimal duties and taxes.
“Increasing revenue from exports is a top priority of the government,” he added.
He highlighted the importance of consulting sector experts on the committee’s recommendations to improve the scheme, particularly regarding the import of raw materials and machinery for export industries.
Sharif directed authorities to present a level playing field for local industries, adding that the scheme was launched to reduce production costs and enhance Pakistan’s competitiveness in domestic exports.
The meeting was attended by federal ministers, an adviser to the PM, Pakistan’s tax authority chief and businessmen from the export industry.


Pakistan calls for global action over Israel’s killing of Palestinian emergency workers in Gaza

Updated 15 min 11 sec ago
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Pakistan calls for global action over Israel’s killing of Palestinian emergency workers in Gaza

  • Foreign Office spokesperson Shafqat Ali Khan urges the world to put end to Israeli violations of international law
  • Israel deliberately killed 15 Palestinian emergency workers last month in a shooting incident captured on video

ISLAMABAD: Pakistan urged the international community on Thursday to take notice of Israel’s latest “barbarity” in the Gaza Strip while referring to the killing of 15 Palestinian emergency workers in a shooting incident captured on video.
The emergency workers were shot dead on March 23 and buried in shallow graves. Initially, the Israeli military claimed it opened fire after unmarked vehicles approached its soldiers in the dark, but later changed the statement after video footage emerged showing clearly marked ambulances and fire trucks with their lights on coming under fire.
The war in Gaza, which began in October 2023, has continued despite repeated international appeals for a ceasefire. The Palestinian death toll has reportedly surpassed 50,000, with women and children making up a significant portion of the casualties.
“Pakistan in the strongest possible terms condemns the continued aggression and atrocities committed by Israeli occupation forces in occupied Palestinian territory, particularly in Gaza,” Foreign Office Spokesperson Shafqat Ali Khan said during his weekly media briefing.
“In the latest incidents of brutality, Israel has mercilessly killed 15 Palestinian emergency and civil defense workers,” he continued. “Pakistan demand that the international community should take immediate notice of this barbarity and stop this blatant violation of international law and charter of the United Nations.”

Khan highlighted his country’s condemnation of the continued aggression by Israeli forces in Gaza.
Pakistan, which does not recognize Israel, has consistently supported the Palestinian demand for an independent state based on pre-1967 borders.
It has repeatedly raised concerns over the Gaza conflict at various global forums, including the UN Security Council, and has called for a ceasefire and accountability for Israel’s actions.

 


World Bank investment arm commits $300 million loan to Pakistan’s Reko Diq mining project

Updated 10 April 2025
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World Bank investment arm commits $300 million loan to Pakistan’s Reko Diq mining project

  • Located in Balochistan, Reko Diq is among the world’s largest undeveloped copper and gold reserves
  • IFC says its involvement will mitigate project risks and support sustainable mining practices in Pakistan

KARACHI: The World Bank’s private investment arm, the International Finance Corporation (IFC), will extend $300 million in debt financing for Pakistan’s Reko Diq copper and gold mining project, according to an IFC project disclosure published on Wednesday.
Reko Diq, located in Pakistan’s southwestern Balochistan province, is among the world’s largest undeveloped copper and gold reserves. Once operational, it is expected to significantly boost Pakistan’s exports, generate substantial tax and royalty revenues and contribute to economic growth and job creation.
IFC said its involvement will mitigate project risks in the restive Balochistan region and support sustainable mining practices.
“The estimated total Project cost is $6.6bn, and it will be financed using a combination of debt and equity,” IFC announced while sharing a summary of its investment.
“IFC’s proposed investment consists of an A-loan of up to $300 million,” it added. “Other parallel lenders will provide the remaining debt financing.”
An A-loan is a direct loan provided by the IFC from its own funds, typically with long-term repayments. It is a form of debt financing, requiring the borrower to repay the loan with interest, unlike equity financing where the investor takes ownership stakes in the project.
The Reko Diq project is being supported by IFC’s technical and financial expertise. The institution will act as Environmental and Social (E&S) coordinator, ensuring adherence to its performance standards and helping implement best practices in sustainability.
IFC will also provide advisory support on mining operations, transport infrastructure and risk mitigation.
According to the investment summary document, the project will strengthen domestic supply chains and contribute to community development in Balochistan.
It is also expected to deepen domestic market integration by linking Balochistan to national and global markets and encouraging further investment in Pakistan’s mineral sector.
The IFC has actively engaged with Pakistan recently through several high-level visits and financial commitments. Earlier this year, its Managing Director Makhtar Diop visited the country in February and met with public and private sector stakeholders to expand IFC’s investment footprint and reaffirm its commitment to sustainable and inclusive growth.
Subsequently, the IFC announced plans to significantly increase its investment in Pakistan, with a target of up to $2 billion annually over the next decade, potentially amounting to $20 billion.
The initiative aligns with the World Bank’s Country Partnership Framework, which envisions a combined investment of around $40 billion in Pakistan over ten years.

With input from Reuters
 


Pakistan PM departs for Belarus on two-day visit to boost bilateral cooperation

Updated 10 April 2025
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Pakistan PM departs for Belarus on two-day visit to boost bilateral cooperation

  • The two sides plan to sign several agreements during Sharif’s two-day visit, says Pakistan’s foreign office
  • Visit can also help Pakistan diversify trade partnerships since Belarus can be a gateway to Eurasian markets

ISLAMABAD: Prime Minister Shehbaz Sharif left for a two-day visit to the Eastern European country of Belarus on Thursday, his office said, as the two sides prepare to sign several agreements to strengthen bilateral cooperation.

Pakistan was among the first countries to recognize Belarus after the dissolution of the Soviet Union and has maintained diplomatic relations with it since 1994.

However, bilateral trade has remained modest, with annual volumes ranging between $50 and $65 million, according to the Belarusian embassy in Islamabad.

Belarus mainly exports tractors, trucks, potash fertilizers, synthetic yarns and tires to Pakistan, while Pakistani exports include rice, textiles, leather goods and surgical instruments.

“Prime Minister Muhammad Shehbaz Sharif has departed for a two-day official visit to Belarus,” the PM Office said in a statement. “At the invitation of His Excellency President Aleksandr Lukashenko, Prime Minister Muhammad Shehbaz Sharif will undertake an official visit to Belarus from April 10 to 11, 2025.”

According to another statement released by the foreign office earlier today, Sharif will hold talks with Lukashenko to review progress in areas of mutual interest.
“The two sides are expected to sign several agreements to further strengthen cooperation,” it added.
The prime minister’s visit follows a series of bilateral engagements in recent months. The Belarusian president visited Pakistan last November for his third official trip to the country, during which both sides signed a “Roadmap for Comprehensive Cooperation for 2025-2027” to expand economic ties and institutional linkages.
Fourteen other agreements and memorandums of understanding were also inked, covering cooperation in environmental protection, disaster management, halal trade and science and technology.
For Pakistan, closer ties with Belarus offer several strategic advantages that include diversifying trade partnerships beyond traditional markets, enhancing defense collaboration through access to Belarusian technology and tapping into regional connectivity opportunities, with Belarus serving as a potential gateway to Eurasian markets.
The partnership also complements Pakistan’s broader goals, such as the development of an export-oriented economy.