ISLAMABAD: Four officials of the Federal Government Employees Housing Authority (FGEHA), including a deputy commissioner, have been suspended for alleged embezzlement of billions of rupees compensation meant for the affected landowners of G-14/1.

Moreover, sources said the authority had remanded the case to the Federal Investigation Agency (FIA) for the recovery of embezzled money.

The investigation into the alleged embezzlement stemmed from grievances related to the FGEHA’s settlement claims for land acquired in Chellow and Jhangi Syedan, oldest villages within the boundaries of the newly-developed G-14/1. While the FGEHA has developed other G-14 sub-sectors over the past 15 years, work on G-14/1 only began recently.

Local landowners, numbering around 300, allege blatant foul play. They claimed that while they awaited fair compensation, the FGEHA had disbursed a staggering Rs518.98 million in cash compensation and awarded prime plots worth an estimated Rs25-30 million each to a select group of 32 individuals. Documents showed most of the beneficiaries were investors, not original local residents. At least six individuals received multiple cheques with several recipients belonging to the same family.

Authority remands case to Federal Investigation Agency for recovery of billions of rupees

The locals accused the FGEHA of deliberately sidelining them in favour of investors, prompting their applications to NAB and the FGEHA itself.

FGEHA Director General retired Captain Zafar Iqbal took action against officers involved in irregularities in the issuance of 26 Built-Up Property (BUP) awards in G-14/1.

A four-member fact finding committee was formed by the DG to investigate the BUP awards and identify any discrepancies or illegalities.

The committee comprised Faiz Umar Sial (Director Admin), Asim Amir (Director IT), Sahibzada Qasim Noor (Deputy Director Finance) and Haris Fawad (Assistant Director GIS).

The terms of reference (TORs) mandated the committee to verify the legitimacy of the BUP claims using GIS-based analysis and determine whether awards were issued to genuine victims or to those who had made illegal constructions.

Upon submission of the report, the FGEHA chief suspended the officers for their involvement. As per the statement issued by the FGEHA, those who faced suspension included the deputy commissioner/land acquisition collector, assistant director (BUP), a tehsildar and a sub-engineer.

The findings of the inquiry have been forwarded to the Ministry of Housing with a request for formal disciplinary proceedings under the Efficiency and Discipline (E&D) Rules.

Additionally, recovery orders have been issued against individuals who received illegal compensation through fraudulent BUP claims.

The DG emphasised that the rights of genuine landowners remain a top priority and added that all legitimate beneficiaries would receive due compensation.

“This is a clear message that corruption and misconduct will not be tolerated.

We are committed to justice, transparency and the protection of rightful claimants,” said Mr Iqbal in an official statement.

He said all BUP awards would undergo re-evaluation to ensure accountability and strict action would continue against any elements found exploiting the system, he added.

Published in Dawn, June 21st, 2025