ISLAMABAD: After holding “deliberations” for around one-and-a-half years, the Senate Standing Committee on Cabinet Secretariat on Tuesday directed the Capital Development Authority (CDA) to cancel a 10-kanal plot it had allotted to the Pakistan Foreign Office Women Association (PFOWA).

In January last year, the committee took up the matter following media reports that the PFOWA had entered into a joint venture with Roots Millennium School on the plot. However, the committee could not reach any conclusion, which raised eyebrows. The PFOWA is the social and charitable association of the wives of officers of the Ministry of Foreign Affairs.

The association, in relaxation of the CDA rules, got the plot in Sector H-10 in 1995 against a nominal price on the directive of the then prime minister.

However, instead of constructing a school building or launching any welfare project, the association a couple years ago in alleged violations of the allotment letter made an agreement with the private school for starting a joint venture on the plot.

Pakistan Foreign Office Women Association got 10 kanals in relaxation of rules against a nominal price and entered into joint venture with a private school

The Senate committee directed Mayor Sheikh Ansar Aziz, who is also the chairman of the CDA, to cancel the plot immediately. However, the CDA chief sought time saying the plot was allotted on the directive of the prime minister and for its cancellation the premier’s approval might be required.

However, the committee members said there were violations of the allotment letter and the CDA was authorised to cancel the plot. The CDA chief said he had no issue in cancellation of the plot but before taking any step he would check with the concerned directorate of the CDA. He informed the committee that the Prime Minister Office had paid Rs10 million and PFOWA only 1.3 million for the plot.

The committee gave the CDA chief time with the direction to submit a reply at the next meeting.

“Charity plots are meant for welfare projects, not for commercial use,” said the committee chairman Senator Talha Mahmood. He said the reason for the delay in deciding the matter was just to make room to protect the welfare plot from being cancelled and to get an assurance from the stakeholders that the plot would not be used in violation of the allotment letter.

“Mr chairman, today you have taken a great decision,” said Senator Mir Yousuf Badini. Senator Kamil Ali Agha and Kalsoom Parveen said people had been looking towards the committee for the decision because the plot was allotted for charity and welfare and cannot be utilised for a commercial purpose.

The committee also decided that a report would be presented before the Senate for adoption.

The CDA had allotted the 10-kanal plot in relaxation of the rules to PFOWA in 1995. According to the rules, the CDA cannot allot plots to private organisations. School plots are disposed of only through open auctions.

The CDA documents presented before the committee showed that the total premium was worked out at Rs11.3 million along with the annual ground rent at the rate of Re1 per square yard. The amount was payable within four months - by October 1995. However, due to default the CDA withdrew the allotment letter in 1997. In 2006, the then foreign secretary moved a summary to the prime minister for waiving the additional charges and delayed charges and got the approval. The same year the CDA handed the possession of the plot to PFOWA. As per the agreement, the social organisation was supposed to complete the project within three years - by 2009. But still the project is not complete.

In 2014, the women organisation sought permission from the CDA for starting a joint venture with the private school. It also sought changes to clause 13 and 19 of the allotment letter. But the CDA board in 2014 in a vague decision stated: “The board approved the request of PFOWA, however, noted that request does not require changes in clause 13 and 19 of allotment/offer letter.”

Interestingly, these two clauses stated that the leasee shall not transfer the leasehold rights in the plot by sale, mortgage, gift etc without the permission of the CDA.

And the leasee shall not use the plot for any purpose other than the construction of a building. And the leasee shall also not subdivide the plot or alter any of its dimensions and would not amalgamate the plot or nay part thereof with any purpose whatsoever.

Published in Dawn, May 24th, 2017