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June 15, 2005 Wednesday Jumadi-ul-Awwal 7, 1426


KARACHI: SHC strikes down DHA notification



By Our Staff Reporter


KARACHI, June 14: The Sindh High Court struck down on Tuesday a Defence Housing Authority notification requiring compulsory registration of estate agents dealing with property situated within its jurisdiction. A division bench, comprising Justices M. Mujibullah Siddiqui and Maqbool Baqar, allowing the petitions moved by the property agents through Advocates Mushtaq A. Memon, Faisal Kamal Alam and Hasan Akbar, held that the condition was violative of Article 18 of the Constitution, which guaranteed freedom of trade, business and profession. It was also ultra vires of the Defence Officers Housing Authority Order, 1980, under which the DHA was carrying out its functions.

Any action already taken under the impugned notification was void and of no legal effect, the bench ruled. The notification prescribed a hefty fee for registration and stipulated that any property deal was to be completed within 15 days of its initiation. The estate agent involved was to be held responsible for non-completion of a deal.

The DHA said the notification was aimed at regulating and disciplining the real estate sector and curb irregularities. It also would have checked speculative deals and unbridled increase in the prices of property.

The DHA executive board acted bona fide to further the objectives of the 1980 presidential order, the authority submitted.



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