Royal Palm Club: SC asks Railways to complete feasibility report within a month

ISLAMABAD: The Supreme Court (SC) on Wednesday directed the Pakistan Railways to complete the feasibility report of Royal Palm Golf and Country Club, Lahore and submit it within one month.

The court observed that future bidding projects have to keep into account public purpose only, and allowed all parties to file replies to the consultants' report.

A three-member implementation bench of the apex court headed by Justice Umar Atta Bandial and comprising Justice Ijazul Ahsen and Justice Mazhar Alam Khan Miankhel heard the case of Royal Palm Golf and Country Club, Lahore.

The court directed the consultant of the Club to complete the feasibility report and file it within one month and submit before it for consideration.

The court observed that it was not here to make business decisions which will be left to the experts on the feasibility, but needs to ensure that the public purpose is kept in mind.

The court also directed the appointed audit firm to complete the audit of the Club for the remaining years so as to enable further proceedings to take place.

In June last year, the court had declared null and void the lease of railway-owned land used for developing Royal Palm Golf and Country Club in Lahore and directed Pakistan Railways to assume its control.

In 2011, Ishaq Khan Khakwani, former MNA and Dr Mubashir Hassan, founder member of the PPP, had filed a constitutional petition in the Supreme Court under Article 184(3), challenging the lease agreement, involving 1,128 kanals of prime land of the Pakistan Railways, situated in the heart of Lahore city, executed between the government and a Malaysian consortium associated by two Lahore-based companies -- Husnain Construction Company (Pvt) Ltd and Unicon Consulting Service (Pvt) Ltd.

For implementation of this judgment and its continuous compliance, the court had recommended constitution of an implementation bench which shall comprise of Justice Faisal Arab and Justice Ijazul Ahsen, which shall meet as and when the need arises.

The judgment specified that in case both judges were not present at the principal seat of the court, the Chief Justice of Pakistan would be empowered to nominate another bench, provided that at least one of the original members is part of it.

On Wednesday, during the proceedings, Pakistan Railways on a court query submitted a report of the consultant in which various business proposals relating to the project were detailed.

One of the suggestions was to lease the project with the permission to build apartments on the Railway land.

Barrister Syed Ali Zafar, counsel for Mainland Husnain Pakistan Limited, the ex-management company of Royal Palm Golf and Country Club, submitted that he had not received the report compiled by the consultants of Pakistan Railways.

He submitted that he has various objections to the report including the fact that the rebidding had to be done by Pakistan Railways strictly in accordance with laws and the judgements of the Supreme of Pakistan including the judgement passed in this very case.

The counsel pleaded that Pakistan Railways could not be allowed to convert a green space into a concrete block.

He informed the court that due to the ongoing COVID-19 crisis, Pakistan Railways has shut down the Club altogether.

Justice Umar Ata Bandial observed that the Golf Club should not be made only for rich people but middle class and poor people should also be able to use it.

Justice Ijazul Ahsen stressed that the factor of transparency must be maintained in the said project, adding that opportunity should also be given to foreign investors in this regard.

Counsel for Pakistan Railways informed the court that the ministry is in process of drafting of policy for the club. Justice Ijazul Ahsen asked the counsel about final time for completing the process of formulation of the policy. The counsel replied that hopefully they will be able to make it by June 10.

The consultant for the project submitted before the court that they have given different nature of proposals wherein time as well total investment has been mentioned. He submitted that investment opportunities could be created if the club was given for 15 years on lease. Similarly, he said while utilising different options of such nature, investment opportunities could be created as well.