Imdad Ali, diagnosed with paranoid schizophrenia, was sentenced to death in 2001 over a shooting.
Ali has spent 14 years on death row, with three years in solitary confinement in the jail hospital due to his schizophrenia, said Justice Project Pakistan (JPP), a non-profit organisation working to save his life.
JPP said the Advocate General, Punjab and Prosecutor General, Punjab who appeared themselves in court, filed Ali's entire jail medical record since 2001 that was previously unavailable and declares him mentally unfit to be hanged.
The court said that it cannot look at additional evidence at this point in the proceedings and did not take the records into consideration.
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However, it ordered that a 5-member medical board, composed of psychologists and psychiatrists be assembled, and that a list of competent doctors be submitted to the court by all parties by Wednesday.
The court also said Ali's mental condition during his trial is irrelevant as that has achieved finality in the appeal.
The court chose to focus on his current mental state and whether it qualifies him as a person of unsound mind.
The next hearing has been scheduled for November 16.
Earlier, last month the Supreme Court rejected a plea to cancel the hanging saying schizophrenia is not a "permanent" mental disorder.
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