ISLAMABAD: The federal cabinet has granted permission to the Capital Development Authority (CDA) for business deals with the private sector.
At a meeting, presided over by Prime Minister Nawaz Sharif, the cabinet principally approved an amendment to CDA Ordinance 1960 to allow the civic body to initiate projects under the public-private partnership.
However, there are also chances that Islamabad would fall under the control of the real estate builders, strong lobbies, and manipulators might gain sound footing in the civic body.
Incidentally, joint venture projects earlier initiated by the CDA were disowned by the incumbent management owing to accusations of malpractices.
“The three projects of recent past in which the private sectors were encouraged to invest, earn and pay to the CDA were the Diplomatic Shuttle Service, the establishment of Centaurus and Grand Hayat Hotel,” said an official of the estate department.
“Like the former Margalla Towers, these two mega building projects had special relaxations in the schedule of payments. The CDA had allowed them to earn first and pay later.”
As the clarifications related to the past deals by CDA continued to be sought, Chairman CDA Maroof Afzal informed several parliamentary committees, including the Public Accounts Committee (PAC), that the contract for the shuttle service had been terminated and a new one was being prepared with better terms for the CDA.
However, an official in the CDA said the authority had failed to keep a check on the concession made by officers dealing with private real estate developers.
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