KARACHI, Aug 28: Sindh ombudsman Justice (Retd) Haziq-ul- Khairi has taken suo motu action on the complaints regarding non- refund of money to a large number of allottees by the New Malir Housing Scheme-1.

In a notice issued to the director general of the Malir Development Authority, the ombudsman has asked him to appear before him and submit his reply within three days.

According to the statement and receipts and disbursement with effect from Nov 27, 1997 to June 30, 2002, the New Malir Housing Scheme-1 received over Rs1.659 billion, including more than Rs1. 274 billion from the allottees and profits thereon of over Rs380 million. However, it has disbursed Rs256 million which include payment towards salary in the sum of Rs34 million.

There are, according to the record, a total number of 32842 allottees, 10836 of them have applied for refund.

In January 2000, the ombudsman took suo motu notice of the matter and, after due investigation, recommended to the government of Sindh on July 26, 2001, to roll back the scheme, with directing the MDA to refund the amount deposited by the allottees within 60 days, as according to the ombudsman most of the land was possessed either by the army or private persons who had filed cases in the court.

Some of the allottees and M/s Maxim Marketing, consultant of the MDA, impugned the decision of the ombudsman in a constitutional petition in which the said 32846 allottees were not made a party in representative capacity or as a class. The High Court in its order dated February 1, 2002, allowed the new Malir Housing Scheme-1 to carry out its development work, but directed it to refund the amount deposited by the allottees who would apply for the same within a period of 6 months ending June 3, 2002. The allottees who applied for refund have not been paid any amount whatsoever.

The amount of the scheme was frozen with the approval of governor Sindh. According to DG MDA, Abdul jalil Khan, the matter was referred by him to the cheif secretary Sindh who had appointed a member of the Board of Revenue as enquiry officer to ascertain the facts. In the meantime, the MDA had received the direction from 5 - Reserved Corps that before initiating any activity on the land the MDA should seek a “No Objection Certificate” from the army authority. The city Nazim also had two meetings with the corps commander to settle the issue .

A refund committee was also constituted by the Sindh governor which recommended to the city government to start the refund process subject to the following:

a- who will share the burden of consultancy fees of the consultant namely M/s Maxim Marketing.

b- How the amount incurred or to be incurred towards cost of establishment is to be adjusted.

c- An amount of 74 million deposited by the allottees in the account of M/s Maxim marketing is under scrutiny of NAB.