As per the sting, “agents of Pakistani artistes” were caught on tape by undercover reporters demanding a majority of their fee in black. The fee was charged for appearance in wedding ceremonies.
Some of them demanded the fee in cash while others were alleged to demand it be transferred to bank accounts in Australia or Dubai.
The sting alleged that Fawad Khan’s manager demanded 25% of the amount in cash and the rest be transferred to a bank account in Dubai, while Shafqat Ali Ahmed and Rahat Fateh Ali Khan’s representatives demanded Rs. 35 lakh and Rs. 65 lakh although the contract showed Rs. 8 lakh and 23 lakh respectively. The amount mentioned on the contract was including taxes.
News18 has maintained that these actions violate statutory laws because they came to work in India through a work permit issued by the Ministry of External Affairs.
Payment in black money also violates Income Tax and Service Tax violations.