It is the third time that the 67-year-old veteran politician's term as premier has been cut short. The much- awaited verdict plunged Pakistan into a political crisis at a time when the country is facing a brittle economy and a surge in militancy.
As the unanimous verdict by the five-judge bench was read out by Justice Ejaz Afzal Khan inside the packed courtroom 1 of the Supreme Court, a large number of opposition Pakistan Tehreek-e-Insaf workers celebrated outside chanting the slogan, 'Go, Nawaz, Go'.
"He is disqualified as a member of the parliament so he has ceased to be holding the office of Prime Minister," Justice Khan said. The court ordered the Election Commission to issue a notification for Sharif's disqualification.
The court verdict said that having furnished a false declaration under solemn affirmation, Sharif was "not honest" under terms of the Constitution.
Sharif has maintained that there has not been any wrongdoing on his part.
Following the court verdict, a spokesperson of Pakistan Muslims League Nawaz (PML-N) said in a statement that Sharif had stepped down as the Prime Minister.
The spokesperson claimed that during the course of the proceedings of the case, new precedence were set which have not been seen in the history of the country.
The spokesperson said all the legal and constitutional options will be exercised regarding the party's reservations over the judgement.
The Supreme Court also ordered the National Accountability Bureau to start a corruption case against Sharif, his children -- Hussain and Hassan -- and his daughter Maryam.
The Supreme Court ordered that the cases against them be registered within six weeks and trial be completed within six months after the registration of the cases.
Imran Khan, Pakistan's leading opposition leader and petitioner in the Panama case, hailed the verdict.
"I am grateful to all those people who struggled with me, protested, or killed during our long struggle for this cause. It's the result for a united struggle that we are seeing this day today," the cricketer-turned-politician said.
"It is a moment of joy for whole of Pakistan because for the first time the Supreme Court has disqualified the most powerful man in Pakistan, who has been ruling for 30 years. The verdict has brought hope with it, the hope that we too can advance like other countries," he said.
The Imran Khan-led Pakistan Tehreek-e-Insaf, in a swipe at Sharif, tweeted, "Godfather's Rule has ended for good! Truth & Justice have prevailed!"
Pakistan's former military dictator Gen Pervez Musharraf, who has been living in Dubai since last year when he was allowed to leave Pakistan on the pretext of medical treatment, congratulated the entire nation on the court's decision.
"It's a good decision. The entire nation is jubilantly distributing sweets," he was quoted as saying by Geo News.
This is the third time the prime minister, known as the 'Lion of Punjab', has been unable to complete his term as premier. However, it was unclear as to who will take over the post till the next general elections, which are scheduled for 2018.
"Another elected Prime Minister sent home, but only to see him return with greater force & support & soonest Insha'Allah (God willing)," said Maryam, who is carefully being groomed by her father as his political heir.
"Today will pave the way for Nawaz Sharif's resounding victory in 2018. He will be unstoppable...Rok sakte ho to rok lo! (stop him if you can)," the 43-year-old leader said in a series of tweets.
Former information minister Marryium Aurangzeb also said that Sharif would make a comeback for the fourth time soon.
Aurangzeb said that the PML-N is still the largest party of Pakistan and people have brought back Sharif with bigger majority whenever he was removed.
"There is no charge of corruption of public money against Sharif," she said.
She said that the ruling Pakistan Muslim League-Nawaz (PML-N) would soon announce its future course of action.
The verdict means that yet another Pakistani premier has failed to complete a five-year term.
No Pakistani prime minister has ever completed a full five-year term with their tenures cut short by the military, the judiciary or they were ousted by their own party, forced to resign -- or assassinated.
In 2012, then-prime minister Yousaf Raza Gilani was disqualified over contempt of court charges for refusing to reopen a graft case against then president Asif Ali Zardari.
The Panama Papers scandal is about alleged money laundering by Sharif in 1990s, when he twice served as prime minister, to purchase assets in London. The assets surfaced when Panama Papers leak last year revealed that they were managed through offshore companies owned by Sharif's children.
The assets include four expensive flats in London.
A steel tycoon-cum-politician, Sharif had served as the Pakistan's prime minister for the first time from 1990 to 1993. His second term from 1997 was ended in 1999 by the then army chief Musharraf in a bloodless coup.
In May, the Supreme Court set up a six-member joint investigation team (JIT) to investigate the charges against Sharif and his family. The JIT submitted its report to the court on July 10.
It said that the lifestyle of Sharif and his children were beyond their known sources of income, and recommended filing of a new corruption case against them.
On July 21, the court reserved its verdict after concluding the hearing.
The six-member JIT was set up with a mandate to probe the Sharif family for allegedly failing to provide the trail of money used to buy properties in London in the 1990s.
The top court took up the case in October last year on petitions filed by Pakistan Tehreek-e-Insaf, Awami Muslim League and Jamaat-e-Islami and reserved the verdict in February after conducting hearings on a daily basis.
The court took up the case on November 3 last year and held 35 hearings spanning over more than 132 hours before concluding the proceedings on February 23. It had issued the 547-pages split judgement on April 20.
Disclaimer: No Business Standard Journalist was involved in creation of this content
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