Économie

Pakistan Forms High-Level Committee on One Constitution Avenue as Minister Vows End to Selective Enforcement

Prime Minister Shehbaz Sharif appoints a panel led by the law minister to review the long-running dispute over luxury apartments built on state land in Islamabad.

4 min
Pakistan Forms High-Level Committee on One Constitution Avenue as Minister Vows End to Selective Enforcement
Prime Minister Shehbaz Sharif appoints a panel led by the law minister to review the long-running dispute over luxury apCredit · Dawn

Key facts

  • Prime Minister Shehbaz Sharif formed a high-level committee on the One Constitution Avenue issue on Friday.
  • The committee is headed by Federal Law and Justice Minister Azam Nazeer Tarar and includes Minister of State for Interior Talal Chaudhry, the Cabinet Secretary and the Commerce Secretary.
  • The committee must review the matter within a week and present a comprehensive report to the prime minister.
  • State Minister Talal Chaudhry said the project originated in 2005 when the government leased prime land for a five-star hotel and serviced apartments.
  • A consortium of Bismillah Group, Niagara Group and Paragon Group (BNP) acquired the land for approximately Rs4.8 billion.
  • The developers built 253 residential apartments instead of a hotel, violating lease terms, and the land was later transferred to Elite Home Fashion.
  • The land was mortgaged to Bank of Punjab for a loan of around Rs3.5 billion despite incomplete payments, and the company defaulted.
  • Until the prime minister makes a final decision, no action will be taken by the Islamabad administration or the CDA.

Lede: Committee Formed Amid Escalating Controversy

Prime Minister Shehbaz Sharif on Friday established a high-level committee to examine the One Constitution Avenue case, a long-running dispute over luxury apartments built on state land in Islamabad. The committee, led by Federal Law and Justice Minister Azam Nazeer Tarar, also includes Minister of State for Interior Talal Chaudhry, the Cabinet Secretary and the Commerce Secretary. It has one week to review the matter and submit a comprehensive report to the prime minister.

Moratorium on Administrative Action Pending Final Decision

Until the prime minister reaches a final decision, the Islamabad administration and the Capital Development Authority (CDA) are barred from taking any action on the project. During the review period, any affected person may submit representations to the committee, which will hear all parties and individuals without discrimination. The prime minister directed the formation of the committee to ensure that the requirements of justice are fully met in the case.

Minister Announces Zero-Tolerance Policy on Land Encroachments

State Minister for Interior Senator Talal Chaudhry, addressing a press conference in Faisalabad on Friday, announced a decisive nationwide strategy to eliminate illegal occupation of state land. He declared that no individual, group or company would be allowed to defy the law as the government moves to firmly re-establish the writ of the state. “The era of selective enforcement is over. The law will apply equally to all whether it is a slum dweller or the owner of a multi-billion-rupee project,” he said, adding that no entity, regardless of political influence, financial strength or administrative connections, would remain above the law.

Project Origins and Lease Violations Detailed

Chaudhry traced the project’s origins to 2005, when the government leased prime land in Islamabad for construction of a five-star hotel and serviced apartments to cater to foreign delegations and international events. A consortium comprising Bismillah Group, Niagara Group and Paragon Group—collectively known as BNP—acquired the land for approximately Rs4.8 billion. However, the consortium later violated multiple clauses of the lease agreement, altered the project’s intended purpose and attempted to use the land for commercial gains beyond the approved scope. Instead of constructing a hotel as required, the developers built 253 residential apartments in clear violation of the lease terms.

Questionable Transfers and Financial Defaults

The land was transferred to another entity, Elite Home Fashion, through questionable means while the company’s name was changed in official records to obscure liabilities, Chaudhry said. He further revealed that the land was mortgaged to Bank of Punjab to secure a loan of around Rs3.5 billion despite incomplete payments. The company subsequently defaulted, pushing the matter into legal and financial disputes, including proceedings before accountability institutions. The minister termed the case an example of how influential elements had, for nearly two decades, exploited legal loopholes, delays and connections to challenge state authority.

Wider Context: Government’s Push for Accountability

Chaudhry said it had become necessary to place all facts before the public amid circulating reports about the project so that people could understand how national resources were allegedly misused over the years. The One Constitution Avenue case has become a symbol of the government’s broader crackdown on illegal occupation of state land and regulatory violations. The minister’s remarks signal a shift toward uniform enforcement of the law, targeting both powerful developers and informal settlers alike.

Outlook: Committee Report and Potential Compensation Plan

The high-level committee’s report, due within a week, will inform the prime minister’s final decision on the matter. Meanwhile, reports have circulated that the government plans to compensate One Constitution Avenue apartment owners at the price originally paid, following a ruling by the Islamabad High Court. The compensation plan, if confirmed, would address the plight of buyers who purchased apartments in the illegally constructed residential block. The committee’s recommendations are expected to balance legal accountability with the interests of affected parties, as the government seeks to resolve a dispute that has festered for nearly two decades.

The bottom line

  • Prime Minister Shehbaz Sharif has formed a high-level committee to review the One Constitution Avenue case, with a one-week deadline to report.
  • The committee is chaired by Law Minister Azam Nazeer Tarar and includes senior officials; no administrative action is allowed until the prime minister decides.
  • State Minister Talal Chaudhry announced a nationwide crackdown on illegal land occupation, vowing equal enforcement of the law.
  • The project began in 2005 as a hotel and serviced apartment complex but developers built 253 residential apartments in violation of the lease.
  • The land was transferred to Elite Home Fashion and mortgaged to Bank of Punjab for Rs3.5 billion, leading to default and legal disputes.
  • The government is reportedly considering compensating apartment owners at the original purchase price, following a court ruling.
More on this