A citizen, Ashba Kamran, had challenged the appointment of Afsar as the chairman in a petition, which was approved by the LHC.
Directing for the chairman's removal, Justice Asim Hafeez gave a reserved verdict on Kamran's plea.
The illegality committed by way of an unauthorised appointment, by the appointing authority, cannot be concealed, Justice Hafeez said.
Hence, the judge in his remarks maintained, the appointment was "declared without requisite 'authority of law'".
He also directed to send a copy of the order to the federal cabinet, Ministry of Interior and all the departments concerned.
It was contended in the petition that the caretaker government had approved the appointment of a serving army officer by amending the Nadra Ordinance. The caretaker government cannot interfere in permanent policy matters, it argued.
The petition pleaded that the high court should quash the Nadra amendment rules and declare appointment of the servicemen as Nadra chairman invalid.