CCP fines housing developer Rs150m over misleading claims

KARACHI: Pakistan’s antitrust authority has fined a real estate developer Rs150 million for misleading advertisements related to a housing project.

The Competition Commission of Pakistan (CCP) found that the project, contrary to its claims that it was in Islamabad, is located in Mouza Choora, in Rawalpindi. The company was also found to have falsely claimed affiliations with the government’s Naya Pakistan Housing Programme and its associated authority, NAPHDA.

The penalty follows a suo motu investigation by the CCP’s Office of Fair Trade, which concluded that the company disseminated misleading information in violation of Sections 10(2)(a) and 10(2)(b) of the Competition Act, 2010. The Commission levied Rs75 million for each infraction.

The CCP further noted the developer’s persistent non-compliance, including failure to submit audited financial statements, disregard for regulatory directives and absence of filings with the Securities and Exchange Commission of Pakistan (SECP) for multiple years -- issues that raise red flags over the company’s governance and transparency.

In a statement, the CCP reaffirmed its commitment to safeguarding consumers and promoting fair competition in the country’s housing and real estate sector.