ILLEGAL housing schemes, societies and towns have made one big mess for the common man across the country. According to the Rawalpindi Development Authority (RDA), over 149 illegal housing societies operate today in just one district, many deliberately unregistered and preying on unsuspecting buyers with ‘RDA-approved’ claims across social media and property websites.

In Punjab, according to data maintained by the provincial government, there are 7,905 housing societies, of which 5,118 are illegal or awaiting approval. These schemes lure ordinary people dreaming of owning a modest home into paying upfront sums on the basis of forged layouts and non-existent infrastructure.

In many schemes, vast portions of the proceeds vanish into the pockets of powerful developers, front men, political figures and officials. The infamous pro-perty tycoon and his mega projects in different parts of the country are known to everyone, generating transactions worth billions of rupees.

When some scheme is declared insolvent, many among those having paid only some of the instalments get no refund or delivery of property because only those having completed all payments are considered for compensation, leaving countless middle-class families with nothing but broken promises and legal dead-ends.

Illegal housing schemes also impact food security and the environment. Analysts estimate that 20-30 per cent of fertile agricultural land in Punjab has been converted into unplanned housing societies.

What is more, these schemes often lack basic sanitation, roads, or utility infra-structure. Compounding the injustice, regulatory institutions are often complicit. In several cases, illegal schemes continue operations despite formal complaints, while enforcement agencies remain weak or absent.

In Peshawar alone, 295 housing societies were declared illegal in a forensic audit, handling complaints ranging from Rs10 million to over Rs140 million in fraud per scheme.

To protect people, relevant development authorities should publish a public registry of approved schemes, and issue real-time warnings about unapproved colonies. The path forward requires courage, transpa- rency and justice for the millions of poeple whose housing dreams should in no way be sacrificed at the altar of corruption.

Oshaz Fatima
Lahore

Published in Dawn, September 4th, 2025