October 24, 2006	Tuesday	Ramazan 30, 1427

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ISLAMABAD, Oct 23: The government’s effort to curb fraud in real estate business by introducing computerisation of the land record is in doldrums because of non-cooperation of the provinces, sources in the National Reconstruction Bureau (NRB) told Dawn on Monday.

The sources said the bureaucracy associated with the old land and revenue record system was afraid of transparency and it was creating hindrance in introduction of a foolproof system.

Prime Minister Shaukat Aziz seemed keen to introduce the new system but he has so far failed to implement it in Islamabad as a pilot project for even the Agricultural Farmhouse Scheme in the capital where he and President Pervez Musharraf also own one farm each, the sources said.

They said that presently the provinces had full control over the land issues but after computerisation the centre too would have access to the record of the whole country.

The prime minister had reportedly directed the National Database and Registration Authority, which has prepared a software of computerisation of land record, and the Capital Development Authority to begin computerisation of record of the capital by April 15.

The sources said the two organisations had been directed to computerise the record of the farmhouse scheme as pilot project. However, the CDA expressed inability to launch the project in time because of unfavourable conditions and non-cooperation of the local land and revenue department.

The prime minister desired that the outdated system of manual documentary evidence of land ownership should be replaced by computerised ‘Fard’ signed by the official concerned of the land and revenue department.

The premier directed the two organisations that people should not be exploited by patwaris and land and revenue officers for providing Fards.

The land titles maintained manually are also not relied upon by the financial institutions while considering loan applications.

The banks and other financial institutions verify the title and value of land through their own sources. This entails delay and adds to the transaction cost.

An NRB official said poor land title record did not allow millions of citizens, particularly in the rural areas, to participate in the economic activity due to lack of access to credit.

Besides, all banks did not extend loans against the agriculture pass books issued under the Loans for Agricultural, Commercial and Industrial Purposes Act, 1973, he said.

He said the NRB had decided to hold a national consultative meeting with the heads of commercial banks in Karachi to finalise the proposed e-pass book system and identify legal and prudential requirements so that equal opportunities of financial intermediation could be provided to the citizens.