ISLAMABAD: The Capital Development Authority (CDA) allegedly collected completion and extension charges from owners of low-cost housing schemes in G-7 and I-10 for a long time.

Officials said that the CDA itself constructed around 500 houses in these sectors decades ago and allotted them to its employees. Subsequently, many of the employees sold the houses in the open market.

During the last many years, when people approached the CDA for no-objection certificates (NOCs) to further sell the houses, the civic agency started levying charges, stating that plots were allotted in 1971 in G-7, but original allottees did not construct houses within three years. Thus, the current owners are liable to be charged extension and completion charges.

However, the ‘scam’ was unearthed recently by CDA’s Member Estate Mohammad Zaman Wattoo. During the inspection of the record, he came to know that the said houses were constructed by CDA itself; therefore, there was no justification for extension and completion charges.

When houses were constructed by civic agency itself, there is no question of completion certificates extension charges, says official

Sources said when the matter came into the notice of CDA Chairman Sohail Ashraf, he decided that the matter should be presented before the CDA board for a decision.

The issue was part of the agenda of the CDA board meeting, which was supposed to be held last week. However, it was postponed due to other engagements of the board members. The sources said the issue will be taken up in CDA board meeting soon.

They said, in fact, CDA in 1971 had allotted five marla plots in three low-cost housing schemes and CDA itself arranged loans for allottees from House Building Finance Corporation and constructed the houses as “deposit work”, before handing them to the allottees.

“When houses were constructed by CDA itself then there is no question of completion certificate extension charges,” said an official of the estate wing. He said that earlier the estate wing was not privy to this development.

“Anyhow, now we are hopeful people living in three low cast housing schemes will get justice and will no longer will be required to deposit such charges,” the official said and added that in the upcoming meeting, CDA board will take up the issue.

“There are over 300 houses in sector G-7 and over 200 in sector I-10,” the official said.

On the other hand, as per property manual of CDA, an allottee has to construct the house within the period stipulated in the allotment letter. If the allotment does not contain such a period, construction is to be made within three years, beyond which extension charges are levied for non-construction.

Similarly, the completion certificate is an occupancy certificate – meaning allottees are required to get it from the CDA after completing construction.

“But in the low-cost house schemes in questions, CDA itself constructed houses, so apparently there is no justification of asking people for completion certificate as well,” the official said.

Published in Dawn, May 11th, 2026