NAB clarifies Rs500 million jurisdiction threshold
ISLAMABAD: The National Accountability Bureau (NAB) has internally clarified that inflation-based adjustments to the value of liabilities cannot be used retrospectively to bring older, lower-value corruption cases under its jurisdiction.
The clarification follows the enforcement of the National Accountability (Amendment) Act 2026 on March 5. NAB has issued internal guidance for prosecutors and investigators to ensure a uniform legal position on the revised Rs500 million threshold.
Under the amended law, an offence falls within NAB’s jurisdiction when it involves corruption or misconduct involving at least Rs500 million. The law also links the financial threshold to annual inflation indicators issued by the Pakistan Bureau of Statistics, with the adjustment taking effect from July 1, 2026.
However, NAB’s internal interpretation distinguishes between the statutory jurisdictional threshold and the inflation-adjusted value of liabilities. The Rs500 million figure remains the basic test for determining jurisdiction. Inflation adjustment is applied only after the actual liability involved in a case has been finally determined.
The guidance identifies three situations based on when the alleged offence occurred.
For offences committed before July 2022, the original amount involved will be assessed according to the year in which the offence took place. No inflation adjustment will be applied retrospectively. If the final liability is Rs500 million or more, NAB will retain jurisdiction. If it is below Rs500 million, the case will fall outside NAB’s jurisdiction and may be transferred to the ordinary courts.
For offences committed after July 2022, the Rs500 million threshold will initially determine NAB’s jurisdiction. Once an inquiry or investigation establishes the final amount involved, the relevant inflation index for the year in which the case reaches its final stage will be applied if the original liability is at least Rs500 million.
The final reference will therefore contain both the original liability and its inflation-adjusted value. If the original liability is below Rs500 million, no inflation adjustment will be made and NAB’s jurisdiction will cease.
The third category concerns continuing offences that began before July 2022 but continued after that date. Such cases will be treated in the same manner as offences committed after July 2022.
The guidance further states that once the original liability has been finally established and the inflation-adjusted amount has been calculated, the resulting figure will be considered final. It will not be repeatedly revised on the basis of inflation increases in subsequent years.
According to the internal legal position, linking the financial threshold to inflation was intended to keep the threshold realistic and relevant over time and prevent inflation from reducing its practical value.
NAB has also clarified that the amendment was not intended to retrospectively expand the bureau’s jurisdiction or disadvantage accused persons.
The 2026 amendments made another significant change by expanding provisions concerning the transfer of cases falling outside NAB’s jurisdiction. The relevant provision now extends to pending appeals as well, whereas the earlier framework was primarily limited to inquiries, investigations and trials.
