A recent development in Fateh Jang, Arain City case highlights the consequences of unauthorized housing societies operating without essential approvals. Arain City has paid Rs. 600 million to NAB as part of a plea bargain.
A Costly Oversight
Arain City established nearly two decades ago in Fateh Jang, neglected a crucial requirement – obtaining a No Objection Certificate (NOC) from the relevant authority.
This oversight had significant ramifications, affecting 1,019 individuals who invested in plots in the society. Unfortunately, none of them received the promised plots, leading to a legal intervention by NAB.
A Path to Resolution
In a significant development, Arain City opted for a plea bargain with NAB, agreeing to pay Rs—600 million as part of the resolution. Accountability Court-1 reviewed the agreement and raised no objections, approving the plea bargain.
Justice for Investors
As confirmed by the NAB spokesperson, the recovered amount will be distributed among the individuals who invested in Arain City. This move is a measure to provide justice to the affected investors.
Broader Crackdown on Unauthorized Housing Societies
The challenges surrounding unauthorized housing societies extend beyond Arain City. The Rawalpindi Development Authority (RDA) recently launched a comprehensive crackdown, targeting encroachments and illegal constructions in 11 societies.
The Scale of the Issue
According to the RDA spokesman, out of the 484 housing societies in Rawalpindi, 336 operate without the required legal documents. These unauthorized schemes don’t have the necessary approvals, raising concerns about the reliability of investments made in these ventures.
The case of Arain City’s plea bargain is a reminder of the consequences of operating unauthorized housing societies without essential approvals. It highlights investors’ challenges and the steps taken to address their grievances.
The RDA’s extensive crackdown on unauthorized housing societies in Rawalpindi emphasizes the necessity for strict oversight and regulations to safeguard property investors’ interests and ensure housing ventures’ legality.