Private schools: Senate panel seeks record of allotted plots from CDA

The plots were allotted at subsidised rates; many were then sold or leased out at higher rates.

ISLAMABAD: Senate panel on Thursday directed city managers to produce complete records of plots allotted to private educational institutes at subsidised rates and for what purpose the plots are currently being used.

A meeting of the Senate Standing Committee on Cabinet Secretariat, which met in the parliament House, was informed that in the past prized plots were allotted to the private educational institutes in different sectors, but some of the owners sold or leased out the plots in violation of rules.

Misuse of facility

CDA records obtained by The Express Tribune show how private school owners leased out plots given to them at nominal rates. The plots were given to them so that they would shift their campuses out of residential areas.

Between 2005 and 2011, the CDA allotted 49 plots totalling over nearly 66 acres in sectors H-11, G-11, H-8, D-12, F-11, Diplomatic Enclave, Farash Town and Park Road.

Between 2005 and 2006, the CDA allotted 32 plots of 43.25 acres to private schools. Another 14 plots were allotted in 2007 while three more plots were handed out between 2010 and 2011.

The policy of awarding cut-rate plots to the owners of private schools was adopted in 2005 in an effort to gradually shift schools operating in residential areas.

The move cost the civic agency heavily but provided lucrative opportunities to many owners, who sold their plots at significantly higher market rates.

Allotment of these plots was made on non-transferable no profit-no loss basis, but some owners still leased them out.

According to the Islamabad Land Disposal Regulation 2005, plots earmarked for private educational institutes are disposed of after inviting applications under criteria laid down by the CDA. The allotment is made in light of the recommendations of a six-member scrutiny committee headed by the CDA planning and design member.

The committee is supposed to take into account a number of aspects before approving these allotments including track record of the applicant, the number of students at the school, availability of funds with the applicant, fee structure, status of the sponsors and education level, teaching experience, previous level of schooling, affiliation with the federal directorate of education and registration with the income tax department.

The CDA’s finance wing would then calculate the rate of the premium for each plot depending on the plot size and the location.

The owners of private educational institutes are supposed to start construction within one year of the allotment.

“The exact number of plots sold by the owners against monetary returns is not known. At least three have recently been brought to the CDA’s notice,” said the estate management wing official, adding that a survey of such plots was under way, details of which would be available within a week.

Meanwhile, some of the owners have still not cleared outstanding dues against them despite the passage of deadlines. “The outstanding amounts against them is around Rs50 million,” the official said.

The authority is now serving show-cause notices on them.

“In the case of non-compliance, the allotments will be cancelled,” the official claimed, adding that 10 allotments were cancelled due to such violations, but the owners obtained stay orders from lower courts.

According to a CDA report on businesses running in residential areas of Islamabad, around 378 houses were being used by educational institutes. Of these, 89 were in the I sectors, 105 in the G-series, 132 in the F-series sectors, and 52 in four model villages.

Published in The Express Tribune, February 5^th, 2016.