ISLAMABAD: A parliamentary panel has directed the National Accountability Bureau (NAB) to launch an investigation into illegal housing societies operating in Islamabad, after seizing their offices and bank accounts, and stopping land transactions.

After expressing dissatisfaction at the Capital Development Authority (CDA) and ICT’s failure to stop the growth of illegal housing societies in the city, the Senate Standing Committee on Law, Justice and Human Rights directed NAB to conduct an inquiry and submit the report within a month.

The committee directed the Federal Investigation Agency (FIA) to assist NAB in the case.

The committee meeting, chaired by Javed Abbasi, was surprised to learn that 109 illegal housing societies are operating in the federal capital. Committee members observed that the growth of such societies could not have been possible without CDA’s involvement.

Following CDA Member Planning Waseem Ahmed’s admission about the number of illegal housing societies in Islamabad, the committee directed CDA to formally write to NAB to start a probe into illegal housing societies.

“In light of NAB’s inquiry we will suggest actions against those responsible for the mushrooming of illegal housing societies and against those developers and dealers who have been minting billions from innocent citizens in the name of residential plots,” the committee chairperson told Dawn.

Regulations state that the ICT administration can register cooperative housing societies and the Security Exchange Commission of Pakistan (SECP) can register companies dealing in the land business.

However, both types of registered housing societies need an NOC from CDA after their layout plans have been approved.

Mr Ahmed said that the authority has been informing citizens not to purchase plots in unregistered housing socities. However, he shocked the committee when he explained that building codes in registered housing societies are not regulated by CDA.

He said CDA only approved the layout plans and issued an NOC. He said the authority ensures the implementation of the layout plan but is not responsible for building codes in housing societies. Mr Ahmed said there is a big lacuna in the rules, and that CDA cannot stop housing societies from going against the approved layout plans.

Islamabad Chief Commissioner Zulfiqar Haider, however, said the CDA Zoning Regulations, 1992, cover the responsibility of regulating building codes in housing societies. He said that 51 housing societies are registered with the ICT and only nine have not met the set criteria.

Mr Haider said that if a society is registered with either the ICT administration or the SECP, it fulfills the criteria for being ‘legal’. He said that if a society fails to register itself that implies that it does not have an approved layout plan or an NOC issued by CDA. He said that of the 109 ‘illegal’ societies, only 47 are under the purview of the ICT, and all of those are registered.

The NAB director general told the committee that the ICT also plays a significant role in monitoring housing societies, which are bound to submit details of audited accounts to ICT.

Published in Dawn, November 19th, 2015