Restoring plots’ ownership: CDA approves new policy to plug loopholes
Officials were making money by giving back title years later.
Under the new policy, CDA will not entertain any application for restoring a plot even a year after cancellation if dues have not been paid on time. PHOTO: FILE.
ISLAMABAD:
To stop the practice of restoring ownership of plots, cancelled years ago, for a nominal fine, the capital’s civic agency on Friday approved a new policy.
The CDA board voted in favour of the plots restoration policy 2014 to stop people from reclaiming plots the agency had retrieved years later at the former price.
Under the new policy, CDA will not entertain any application for restoring a plot even a year after cancellation if dues have not been paid on time.
An application for restoration will be entertained within three years of cancellation in case the owner failed to erect a building within the specified time period, provided CDA has received the plot’s full price.
A CDA spokesperson said the new policy is aimed at minimising discretion exercised by CDA officials and to streamline conditions and prerequisites for restoration of plots in a transparent and fair manner across the board.
“The 2014 policy also attempts to remove ambiguities in the 2009 policy. New clauses have been incorporated in the policy to help reduce litigation over plots.”
Another feature is the notification of restoration rates in the Gazette of Pakistan. “Once the new rate is fixed, it will be notified. The rate will automatically be updated every year,” said an official.
Lacunas in previous policy
Controversial amendments to clause 3 of the previous policy in June 2011 by a former CDA board permitted the restoration of commercial and residential plots decades after they had been cancelled, depriving the agency of millions in revenue.
The insertion of new sub-clauses in 2011 provided CDA officials new opportunities to mint money by restoring plots at throwaway rates.
Between June 2011 to June 2013, 12 commercial plots were restored by the CDA.
Clause 3 defines a timeframe for processing applications related to restoration of cancelled plots.
In 2011 two additional clauses — 3-b and 3-c — were inserted in the 2009 policy to make it easier to restore plots.
Clause 3-b permitted the restoration of a cancelled plot on which a building had been erected one year after cancellation by paying the current market price as restoration charges.
This clause applied to plots cancelled due to non-payment of dues in given time.
Clause 3-c provided a former owner the chance to reclaim a vacant plot provided he applied for it one year after cancellation by paying a fine of Rs500 per square yard per annum.
The amendments benefited the former National Assembly deputy speaker who managed to win back ownership of a plot earmarked for a cinema in G-9 Markaz. The plot was originally allotted to Lollywood comedian Rangeela some 17 years ago, but was cancelled due to non-payment of premium.
A plot can be cancelled for several reasons including non-payment of dues, failure to complete construction within the specified time, non-conforming use of a building, violations of terms and conditions and sub-division or amalgamation of plots without permission from CDA.
Violation of municipal by-laws or building regulations and fraudulent allotment can also result in cancellation.
The incumbent CDA management had imposed a ban on restoration of plots and asked the Estate Management wing to come up with a new policy.
Published in The Express Tribune, March 8th, 2014.
To stop the practice of restoring ownership of plots, cancelled years ago, for a nominal fine, the capital’s civic agency on Friday approved a new policy.
The CDA board voted in favour of the plots restoration policy 2014 to stop people from reclaiming plots the agency had retrieved years later at the former price.
Under the new policy, CDA will not entertain any application for restoring a plot even a year after cancellation if dues have not been paid on time.
An application for restoration will be entertained within three years of cancellation in case the owner failed to erect a building within the specified time period, provided CDA has received the plot’s full price.
A CDA spokesperson said the new policy is aimed at minimising discretion exercised by CDA officials and to streamline conditions and prerequisites for restoration of plots in a transparent and fair manner across the board.
“The 2014 policy also attempts to remove ambiguities in the 2009 policy. New clauses have been incorporated in the policy to help reduce litigation over plots.”
Another feature is the notification of restoration rates in the Gazette of Pakistan. “Once the new rate is fixed, it will be notified. The rate will automatically be updated every year,” said an official.
Lacunas in previous policy
Controversial amendments to clause 3 of the previous policy in June 2011 by a former CDA board permitted the restoration of commercial and residential plots decades after they had been cancelled, depriving the agency of millions in revenue.
The insertion of new sub-clauses in 2011 provided CDA officials new opportunities to mint money by restoring plots at throwaway rates.
Between June 2011 to June 2013, 12 commercial plots were restored by the CDA.
Clause 3 defines a timeframe for processing applications related to restoration of cancelled plots.
In 2011 two additional clauses — 3-b and 3-c — were inserted in the 2009 policy to make it easier to restore plots.
Clause 3-b permitted the restoration of a cancelled plot on which a building had been erected one year after cancellation by paying the current market price as restoration charges.
This clause applied to plots cancelled due to non-payment of dues in given time.
Clause 3-c provided a former owner the chance to reclaim a vacant plot provided he applied for it one year after cancellation by paying a fine of Rs500 per square yard per annum.
The amendments benefited the former National Assembly deputy speaker who managed to win back ownership of a plot earmarked for a cinema in G-9 Markaz. The plot was originally allotted to Lollywood comedian Rangeela some 17 years ago, but was cancelled due to non-payment of premium.
A plot can be cancelled for several reasons including non-payment of dues, failure to complete construction within the specified time, non-conforming use of a building, violations of terms and conditions and sub-division or amalgamation of plots without permission from CDA.
Violation of municipal by-laws or building regulations and fraudulent allotment can also result in cancellation.
The incumbent CDA management had imposed a ban on restoration of plots and asked the Estate Management wing to come up with a new policy.
Published in The Express Tribune, March 8th, 2014.