
The cash strapped civic agency is in a fix over losing huge revenue because of murky agreements that were signed in the past with private firms for using its prime recreational facilities.
By misinterpreting vague clauses in the lease agreements, signed by the defunct project management office of the Capital Development Authority, lessees’ are earning hefty revenue by moulding large contracts of the authority in their favour.
One such agreement that has left the civic officials scratching their heads was signed between CDA and a ‘non-profit’ company, Revive Foundation, back in 2007 for using its land at Lake View Park.

Visitors and civic officials were taken aback alike, when the company that runs a sports and leisure facility, Ibex Club, at the park, allowed landing of a helicopter as part of a wedding ceremony at the facility.
“Over 200 people attended the wedding and the event lasted for more than two hours,” said an official of the Environment Wing of the authority, who reported the same to his higher-ups. “The firm also allegedly charged the family around Rs1.5 million for renting its lawn for the wedding ceremony,” he added.
If it wasn’t for the event, multiple-meaning terms and conditions in the contract would still have gone unnoticed.
Meanwhile, the foundation is paying a meagre Rs41.32 per square yard per year to the authority which sums up to Rs200,000 per acre per year while land leased out to them covers more than five acres of the park.
Document available with The Express Tribune states the 15-year rent-based lease of the prime land will end in 2022.
An official deputed at the park requesting anonymity said the wedding of a Spanish citizen of Pakistani origin was not the first time the club administration rented out there lawn for the purpose.
“The issue caught attention because of the unique way the baraat (wedding party) arrived on a chopper,” he informed.
Meanwhile the manager, although claiming to have spent millions on the club, denies the event was in violation of the lease contract.
“Holding events for both recreational and leisure purposes are covered by the terms and conditions of the agreement,” maintains the club manager, Muhammad Asim.
The club has been renting out land for corporate and family get-to-gathers, birthdays, baby showers, music concerts and wedding ceremonies as per the clauses, he added.
He accused the civic authorities of prohibiting the club from holding a music concert in the presence of a no-objection certificate (NOC) from the administration and police. Ibex’s administration has obtained a stay order from the court against CDA for it, he said.
When contacted, CDA spokesperson Asim Khichi said the authority was considering reviewing all lease agreements signed with private individuals and firms in the past.
“Ambiguous clauses and conditions will be eliminated from the contracts’ text to rationalise future use of Islamabad’s land and make terms specific and explicit,” Khichi said who termed holding of wedding and other commercial ceremonies on leased lands intolerable.
Published in The Express Tribune, November 2nd, 2013.
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