LAHORE, April 3: Private housing schemes’ sponsors have brought to halt the construction of two important roads meant for linking the new housing schemes in southern Lahore, by refusing to pay their share of the construction cost.

The problem has arisen following the refusal of the Judicial Colony, Abdalians Housing Scheme, PCSIR Housing Society, Ghee Corporation of Pakistan Housing Society, Iqbal Avenue Housing Scheme, PGEC, NESPAK, PIA and Wapda Town scheme sponsors to contribute their share of Rs39.6 million towards the Rs62.8 million construction cost after the completion of 5.7-kilometre bypass road linking the Lahore canal with the College Road at Township.

The provincial government allocated Rs200 million as its share towards the construction of the roads for linking the new housing colonies. The Traffic Engineering and Planning Agency completed the road from the initial allocation of Rs80 million with an understanding that the sponsors of the private housing schemes would pay the cost of the portion of the road passing through their schemes in accordance with the undertaking given to the LDA for getting their schemes approved.

The sponsors of the housing schemes have refused to pay the construction cost of the road on the ground that they had provided space for the road free of cost, ignoring the fact that the road is a part of their scheme. Two of the sponsors are reported to have filed cases with courts to forestall the recoveries.

Tepa is reluctant to start work on the second road because the government wants it to make recoveries of the construction costs from the sponsors of the housing schemes. The recoveries seem doubtful because the sponsors of the housing schemes have reportedly disposed of the 20 per cent plots mortgaged with the LDA as a guarantee for ensuring proper development of their schemes. Even houses have been built on many mortgaged plots.

An 8.5-kilometre road linking the Maulana Shaukat Ali Road to the Raiwind Road through the Shaukat Khanum Hospital is the first of the project being jeopardized.

The Airlines Housing Scheme, Wapda Town, Nasheman-i-Iqbal and the OPF Housing Society have been asked to contribute Rs22.2 million towards the project, but they have refused.

The improvement of 5.75-kilometre College Road stretch between Township and the Defence Road has also come to a halt because the PCSIR Housing Society, Accounts Group Officers, Pakistan Military Accounts, PGEC, University of Engineering and Technology and National Fertilizers Company Housing Scheme sponsors are not ready to contribute Rs55.6 million towards the estimated cost of Rs76.3 million.