Rs100m fake allotment scam exposed in railways

LAHORE:

A fake allotment scam has surfaced in Pakistan Railways, exposing corruption worth over Rs100 million involving the bogus allocation of more than 200 residential quarters in Lahore and Mughalpura.

The Directorate General of Vigilance has completed an inquiry and submitted its detailed report to the Ministry of Railways, while criminal cases have been registered against several involved employees.

According to Pakistan Railways sources, DIG (North) Abdul Rab Chaudhry, who also serves as DG Vigilance, initiated an inquiry after receiving multiple complaints regarding fraudulent housing allotments.

The inquiry revealed that officers and staff from the Lahore Division and Mughalpura Workshops allegedly collected around Rs100 million in bribes by issuing fake and illegal allotment letters for railway quarters.

The report names former and current State Inspectors, Assistant Inspectors of Works (AIOWs), and officials from the Railways Headquarters as key suspects in the scam.

The evidence indicates a well-organized network of officials who forged documents, fabricated signatures of authorized officers, and issued fake G-10 forms and allotment notices, keeping all transactions off the official record.

Recently, a major breakthrough came when Adil Shehzad, a UDC (Upper Division Clerk) at the Mughalpura Workshops, was arrested and booked at the Lahore Railways Police Station for fraud and forgery.

He allegedly allocated a railway bungalow (No. 260-B in Signal Shop Colony) to himself using a counterfeit letter bearing the signature of the XEN Headquarters.

Investigators found that Adil had even leased out the servant quarters of the property to private individuals for personal profit.

To ensure a comprehensive investigation, a special team comprising officials from the Lahore and Mughalpura Workshops Police, Vigilance Directorate, and Special Branch has been formed.

Minister for Railways Muhammad Hanif Abbasi said the DG Vigilance had unveiled the scandal with professional competence and integrity, bringing to light serious instances of corruption and bribery. He added that the revelation of fake allotments and kickbacks had unmasked the faces of the corruption mafia.