CDA suffers Rs260m loss for restoring commercial plot to influential builder illegally

Islamabad :The Capital Development Authority (CDA) has suffered a loss of over Rs260 million for illegal restoration of a commercial plot to an influential builder without receiving delayed charges from him due to connivance of board members.

The summary for restoration of the commercial plot to the CDA Board was moved by Member Estate Khushhal Khan and it was also supported by CDA Chairman Sheikh Ansar Aziz and another member. However, Member Finance Dr. Fahd Aziz and Member Administration opposed the move.

The commercial plot number 31 of D-12 Markaz measuring 1,600 yards was auctioned for about Rs2 billion during the year 2013, was later cancelled due to non-payment of required amount within the stipulated time.

Later, during the year the investor through an application in June, 2014 requested the authority for restoration of his plot. In response the CDA asked the builder deposit delayed charges amount over Rs260 million within 30 days but the requirement was not met.

Only two months later, a summary was moved to the CDA Board which contains two options as to whether the plot should be restored or clause 4 of the Restoration Policy should be adhered.

The Restoration Policy says that the plot once cancelled due to non-payment should be offered for auction again. However, CDA chairman, member estate and member engineering supported restoration of plot which was restored without getting delayed charges.

Member Estate when asked admitted that he moved the summary saying that the builder deposited some part of delayed charges after 32 days instead of 30 days as there was confusion in the CDA letter.

He said the builder was confused over the exact amount which he is required to pay to the authority. He said the payment made by the investor to the CDA was also kept by the authority. He said that he himself, CDA chairman and member engineering supported the summary which was opposed by member finance and member administration. The CDA sources said the National Accountability Bureau (NAB) is likely to take up the case in the next few days for further action.