• Abad says its members are receiving calls from Iran‑ and UAE‑based numbers, demanding up to Rs 50 million in ‘protection money’
• Says at least 10 builders have formally reported threats
• Warns of shutdown from Jan 15 if govt fails to rein in criminal elements
• Association’s patron seeks army chief’s intervention

KARACHI: The country’s real‑estate developers on Wednesday alleged that the city’s business community has been facing an unprecedented rise in extortion and harassment cases from organised criminal gangs, and warned that they will shut down their business activity after January 15, 2026, if authorities fail to curb the unchecked reign of fear gripping the city.

The warning by the Association of Builders and Developers (Abad) came only two months after the Korangi Association of Trade and Industry (Kati) and All City Traders Ittehad Association had expressed serious concerns about the growing cases of extortion and urged the Sindh government and law enforcement agencies to ensure foolproof security for traders and industrialists.

Speaking at a press conference on Wednesday, Abad office-bearers accused criminal networks operating both locally and from abroad of systematically targeting builders, developers and businessmen through extortion calls, threats and shooting incidents.

According to Abad Chairman Muhammad Hassan Bakshi, extortion calls have surged over the past five months, with at least 10 of its association members formally reporting threats.

“We are receiving calls from Iranian and Dubai-based numbers, demanding up to Rs50 million in extortion. Those who refuse are shot at. This is not speculation — it is happening on the ground,” he said.

He alleged that “known criminals,” including Ahmed Ali Magsi, Jameel Chhanga and Wasiullah Lakho, were openly involved in extortion, land grabbing and intimidation.

He said extortionists even send threatening notes, bearing their names, phone numbers and bank account details, yet no effective action has been taken against them. “Sixty cases are already registered against Wasiullah Lakho. The question is why is he still free,” he said, adding that Abad officials had submitted written complaints to President Asif Ali Zardari, PPP Chairman Bilawal Bhutto-Zardari and Sindh chief minister, leaving “no excuse of ignorance”.

“The law and order is not a favour but a constitutional duty of the state. We can’t understand how five or six individuals are holding Karachi hostage. They are traceable, they are known, yet they are free. If by January 15 the situation does not improve, Abad will be forced to shut down business in Karachi,” he added.

The association’s patron-in-chief, Mohsin Sheikhani, said the real estate section was left with no option but to consider shutting down operations.

The situation, he said, had deteriorated to the point where police appeared “helpless”. He appealed “directly to the army chief to intervene, warning that the economy will collapse” otherwise.

“Unless the federal government takes up this issue and red warrants are issued against extortionists, including those operating from Iran, nothing will change. Our properties, investments and even lives are at stake. If the state cannot protect us, how can we continue doing business?” he asked.

Senior Abad member Syed Afzal Hameed said he had never paid extortion and never would, calling the developing situation a conspiracy to sabotage the economy. He asked the authorities to move “before it’s too late.”

“Karachi’s share in national revenue has already fallen from 62 per cent to 50pc. If real estate collapses, remittances and tax collection will also suffer,” he added.

Published in Dawn, December 18th, 2025