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IN THE UNITED STATES DISTRICT COURT

FOR THE EASTERN DISTRICT OF TEXAS

BEAUMONT DIVISION

JEFF S. AKHTAR §

 §

Plaintiff §

v. § 

§

SHOWKAT ALI, IMTAIZ ALI § C.A. No. 1:23-cv-00233-MJT 

AND MOHAMMAD ALI §

§

 Defendants §

______________________________________________________________________________

PLAINTIFF’S FIRST AMENDED PETITION

TO THE HONORABLE COURT:

COMES NOW, JEFF S. AKHTAR, Plaintiff in the above in the above entitled and

numbered cause, filing this, his First Amended Petition complaining of Defendant Showkat 

Ali, Imtaiz Ali, and Mohmmad Ali and for causes of action and grounds for relief would 

respectfully show the following:

I. PRELIMINARY STATEMENT

Plaintiff and Defendants are family. The parties agreed to Plaintiff investing money 

to Defendants Showkat Ali and Imtaiz Ali to purchase and operate an existing bar. Plaintiff

was told that the Defendants could not get the establishment to work and that it was closed 

down. This agreement was made in 1986. On December 25, 2022, Plaintiff learned that 

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Defendants did fraudulently take his money and invest it on other properties in the United 

States and in Pakistan and partnered with other entities without his knowledge. Defendants 

did lie about operating the bar establishment.

II. JURISDICTION

1. This court has jurisdiction over Plaintiffs’ claim under 28 U.S.C. §1332. This 

court further has jurisdiction over Plaintiffs’ state law claims under 28 U.S.C. 1367 

(supplemental jurisdiction) as those claims from part of the same case or controversy under 

Article III of the United States Constitution. 

2. The Court also has jurisdiction under 28 U.S.C. § 1332, as the amount in 

controversy exceeds $75,000. 

III. PARTIES

1. Plaintiff Jeff Akhtar is an individual who resides in Jefferson County, Texas and has 

within the past six months prior to the filing of this petition.

2. Defendant Showkat Ali is an individual who resides at 8710 Cypresswood Drive, 

Spring, Texas 77379. Citation is requested at this time.

3. Defendant Mohammad Ali is a resident of the State of Oklahoma and resides at 

10609 Lakeside Drive, Oklahoma City, Oklahoma 73120. Citation is requested at this time. 

4. Defendant Imtaiz Ali is a resident of the State of Oklahoma and resides at 9502 

Cypresswood Drive, Spring, Texas 77379. Citation is requested at this time. 

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IV. NOTICE OF CLAIM AND CONDITIONS PRECEDENT

5. All conditions precedent necessary to maintain this action have been performed, 

have occurred, have been waived, or are excused.

V. FACTS

6. In 1986, Plaintiff Jeff Akhtar and Defendants Showkat Ali and Imtaiz Ali agreed that 

Plaintiff Jeff Akhtar would invest all of the funds to purchase and operate a business, a bar 

establishment, from the owner. The business was approximately valued at $100,000.00, with 

a monthly profit that was to be shared equally expenses were paid. The business had been 

existing and profiting for more than the five years prior to the purchase. The business 

continued to profit for approximately eleven years.

7. Defendant Mohammad Ali was a guarantor for Defendant Showkat Ali agreement

and guaranteed that the payments were to be made as agreed from Defendants Showkat Ali 

and Imtaiz Ali.

8. Plaintiff was told that the bar establishment was not making any money and that it 

was closed down. 

9. Plaintiff learned on December 25, 2022, that all Defendants had lied to him, taking 

the money provided to purchase the business along with all of the profits from the business 

to purchase other businesses, land and other investments that currently total over 

$2,000,000.00. Plaintiff learned on December 25, 2022 that there was never an intent to 

permanently operate the bar establishment, but rather let it temporarily operate so as to use 

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the funds to purchase other businesses and real estate for the benefit of Defendants and 

detriment the Plaintiff. 

10. Plaintiff learned on December 25, 2022 that Defendants plotted and agreed to 

take Plaintiff’s money to purchase the business along with all of the Plaintiff’s net income 

from the bar establishment to invest in other business and real estate for their own profit and 

to never inform Plaintiff. 

VI. CAUSES OF ACTION

COUNT 1: FRAUD AND MISREPRESENTATION

11. Plaintiffs reallege and incorporate by reference the preceding paragraphs for all 

purposes the same as if set forth herein verbatim. 

12. Defendants Showkat Ali, Imtaiz Ali, and Mohmmad Ali did individually and jointly:

(1) make a material representation, 

(2) the representation was false, 

(3) when the Defendants made the representation, they knew it was false or made 

it recklessly without knowledge of the truth as a positive assertion, 

(4) the Defendants made it with the intention that it should be acted upon by 

Plaintiff Jeff Akhtar, 

(5) the party acted in reliance upon it, and 

(6) the party thereby suffered injury. 

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Solutioneers Consulting, Ltd. v. Gulf Greyhound Partners, Ltd., 237 S.W.3d 379, 385 (Tex. App.-

Houston [14th Dist.] 2007, no pet.). Ernst & Young, L.L.P. v. Pac. Mut. Life Ins. Co., 51 

S.W.3d 573, 577 (Tex. 2001); Hartford Fire Ins. Co. v. C. Springs 300, Ltd., 287 S.W.

3d 771, 781 (Tex. App.—Houston [1st Dist.] 2009, pet. denied).

13. The Defendant did intentionally and knowingly falsely represent that the funds 

provided by Plaintiff were being used to purchase the business, a bar establishment, and that 

upon purchasing the business, all net sales proceeds would be divided equally between 

Plaintiff and Defendants Defendant Showkat Ali and Imtaiz Ali, with Mohmmad Ali

guaranteeing the payments would be made. Plaintiff did learn that they lied to him and told 

him that there were no funds coming from the business for an approximate seven (7) year 

period. Then they fraudulently took his funds and invested the money without giving him 

his interest in the investments. 

13. Defendants individually and jointly did intentionally and knowingly make 

misrepresentations and omissions of material facts to Plaintiff in order to obtain funds from 

Plaintiff and profit off of his funds to his detriment and their benefit.

14. Plaintiff had no knowledge of the falsity of Defendants’ representations thatthere 

were no proceeds from the bar establishment business and omissions of material facts as to 

the use of Plaintiff funds and interest in the business. Plaintiffs reasonably and justifiably 

relied upon the representations or omissions of Defendants in deciding to loan Defendant’s 

the money purchase the business and become a joint owner of the business. 

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15. Plaintiff has been injured as a direct and proximate result of the foregoing fraud in 

an amount in excess of the minimum jurisdictional limits of this Court, in a minimum 

amount of $2,000,000, plus all interest paid thereon. Additionally, these acts were 

committed willfully and wantonly, and accordingly, Plaintiffs are entitled to recover punitive 

damages in an amount to be determined by a trier of fact. Plaintiff seeks recovery of those 

damages from Defendants jointly and individually. 

COUNT 2. UNJUST ENRICHMENT

16. Plaintiff incorporates by reference all paragraphs above as if set forth fully herein.

17. Defendants, individually and jointly, were unjustly enriched as Plaintiff gave them 

the funds for the purpose they requested it for which was fraudulent as the funds were really 

used to benefit the Defendants. 

18. Plaintiff has suffered damages in the amount of $3.000,000 due to the unjust 

enrichment.

V. ATTORNEY’S FEES

33. Plaintiff is entitled to recover reasonable and necessary attorney fees incurred 

herein and request his attorney’s fees and costs expended herein. 

VI. PRAYER

 WHEREFORE, premises considered, Plaintiff JEFF AKHTAR prays that Defendantsbe 

cited to appear and answer herein and that upon hearing and trial of this matter have 

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judgment against Defendants individually and jointly for all causes of action claimed herein 

including actual and consequential damages, attorney’s fees, pre-judgment and postjudgment interest at the maximum lawful rate, costs of court, attorney’s fees and any such 

other and further relief to which they may be entitled, either at law or in equity.

 

Respectfully submitted,

COLLEEN M. McCLURE

ATTORNEY AT LAW

By: _____Colleen M. McClure_________

Colleen M. McClure

SBN: 24012121

6046 FM 2920, #425

Spring, Texas 77379

 Telephone: (281) 440-1625

 Facsimile: (281) 946-5627

 colleen.mcclure@att.net

ATTORNEY FOR PLAINTIFF

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