‘CDA lost Rs140m in Orchard Scheme’

Report states agricultural farm allotted by skirting by-laws on auction

The audit had pointed out illegal allotments in April 2015, but the authority did not respond to audit observations nor was the matter discussed in the DAC meeting. PHOTO: APP

ISLAMABAD:
The Capital Development Authority (CDA) , suffered a loss of Rs140 million due to the illegal allotment of an agricultural farm on Murree Road.

This was revealed by the Auditor General of Pakistan (AGP) in its recent report for the fiscal year 2014-15. The report had raised 64 audit objections for the civic agency.

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The report said CDA’s estate management-II director had allotted the 2.5 acre agro-farm 51 in Orchard Scheme, located on Murree Road, for just Rs10 million in May-July 2015. The land had been allotted without an auction, violating CDA by-laws.

“Had that plot been auctioned according to CDA’s policy and prevailing market rates, it would have fetched a revenue of approximately Rs150 million for the authority,” the report revealed.

The loss was pointed out by the auditor in 2015. But the authority explained in its reply that the land had been allotted on the recommendations of the CDA Board to the affectees of Dhoke Majoohan, Islamabad. The land was part of rehabilitation benefits offered to the Dhoke Majoohan in exchange for around 100 kanals of cultivable land which CDA had acquired from them.

The CDA further stated that the pressure of anticipated protests by the Dhoke Majoohan residents and its subsequent spillover effect of closing the road to Park Enclave Phase-I had precipitated the CDA’s decision to allot the land by circumventing CDA by-laws.


The AGP’s report, however, rejected the CDA reply as ‘illogical’ pointing out that the Park Enclave scheme had been launched in 2011. Moreover, there was no evidence which supported the authority’s claim of the danger of an imminent law and order situation by the locals. The report added that CDA could not produce any FIR or other evidence to back its claims.

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The report further says that the matter could not be discussed in Departmental Accounts Committee (DAC) meetings despite efforts made by the auditor to do so.

In another audit objection, the report reveals that CDA Director Land and Rehabilitation allotted 44 plots of different sizes to the affectees of Bekha Syedan. However, the allotment letters carried the signatures of Deputy Director, Multan Ali, who only had additional charge at the time.

The letters were stamped in the office of director land and rehabilitation in presence of then CDA’s member estate. The audit observed that the plots were allotted without obtaining surrender certificates and proper identification documents of the affectees by the revenue staff resulting in illegal allotment of plots.

The audit had pointed out illegal allotments in April 2015, but the authority did not respond to audit observations nor was the matter discussed in the DAC meeting. The AGP recommended that matter should be investigated and responsibility be fixed for appropriate action.

Published in The Express Tribune, October 6th, 2016.
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