Updated July 28, 2017 21:09:20

Photo: A legal expert says the court order is binding and Nawaz Sharif and his family may not challenge it. (AP: B.K. Bangash)

Pakistan's Supreme Court has disqualified Prime Minister Nawaz Sharif from holding office over allegations of corruption against him and his family that came to light through the release of the Panama Papers.

In a unanimous decision the court said Mr Sharif was disqualified for not remaining "truthful and honest" after considering evidence against him.

The court also directed the country's anti-corruption body to file corruption charges against Mr Sharif, his two sons and daughter in the next six weeks for concealing their assets.

The current case against Mr Sharif and his family dates back to 2016, when documents leaked from a Panama-based law firm indicated Mr Sharif's sons owned several offshore companies.

The massive security breach, which became known as the Panama Papers, comprised of the leak of more than 11 million documents that showed how a global industry of law firms and big banks sells financial secrecy to politicians, fraudsters and drug traffickers as well as billionaires, celebrities and sports stars.

Why does this matter? Is it illegal? How do they operate? These questions and more are answered in our explainer.

Mr Sharif's son Hussain Nawaz at the time acknowledged owning offshore companies but insisted they used legal money to set up businesses abroad.

However, the court-appointed investigators concluded a significant disparity existed between the Sharif family's declared wealth and its known sources of income.

The ruling ordered that Mr Sharif could no longer serve as a member of the National Assembly — a powerful Lower House of the Parliament.

The court asked the Election Commission of Pakistan to issue notification of Mr Sharif's removal. But Mr Sharif quickly stepped down, saying he did it to show his respect for the country's judiciary.

Ruling ensures accountability for the 'corrupt ruling elite'

General elections are to be held in Pakistan next year and the Supreme Court ruling ensures he will not be in the running.

Mr Sharif's party expressed its disappointment over the court order.

"This decision is not surprising but we are disappointed," Information Minister Maryam Aurangzeb said.

Photo: Opposition party supporters welcomed the court decision, saying it was a victory for justice. (AP: Anjum Naveed)

She said their Pakistan Muslim League ruling party would issue a detailed reaction after consulting Mr Sharif's advisers.

They say Mr Sharif's nominee would be elected by the National Assembly, where the ruling party enjoys majority.

Legal expert Hashmat Habib said the court's order was binding and Mr Sharif and his family might not challenge it.

Opposition MPs, who petitioned the court for disqualification of Mr Sharif, welcomed the court decision, saying it was a victory for justice.

Sirajul Haq, who heads Pakistan's Jamaat-e-Islami party, told reporters he had been fighting a legal battle to ensure the accountability of the "corrupt ruling elite".

It was not the first time the judiciary has ordered the dismissal of an elected prime minister.

In 2012, the court convicted the then-prime minister Yusuf Raza Gilani in a contempt case, forcing him to step down.

AP

Topics: world-politics, corruption, law-crime-and-justice, government-and-politics, pakistan, asia

First posted July 28, 2017 20:47:12