Park Enclave woes: CDA diverts money for paying staff salaries

Nearly 15,000 employees paid salaries out of development funds meant for housing scheme.

ISLAMABAD:

The city managers have failed to steer the civic agency out of financial straits and instead have resorted to adopting shortcuts putting citizens and investors in trouble.

The Capital Development Agency (CDA) has diverted development funds meant for its prized housing scheme to pay off salaries of its employees.

In a show of financial indiscipline, nearly 15,000 employees of the CDA have been paid salaries for the month of February, out of development funds meant for Park Enclave. The housing scheme announced in 2011 and was supposed to be completed in 2012.

Around 800 people who bought plots in the scheme await completion of developmental work nearly three years after lapse of the promised date.

An amount of Rs353.5 million was deposited in the scheme’s development account in January by the public as down payment of 154 residential plots.

The CDA, by the end of 2014 had announced to present 154 new plots measuring 500 and 1,000 square yards for sale, in addition to the 614 plots that were put on sale when the scheme was launched in 2011.

“It’s been almost nine months since the last auction of land was held by the CDA. Sale of land is a major source of revenue for CDA and in the absence of influx of money under this head, the authority is utilising development funds to meet non-developmental expenditures,” a senior finance wing official of the CDA said.

Monthly salary and allowances of CDA’s gazette employees is around Rs80.918 million, while of non-gazette employees is Rs234.435 million. Besides, the authority also spends Rs22.063 million every month in to pay the salaries of temporary employees and pension of retired officials.

Published in The Express Tribune, March 6^th, 2015.