ISLAMABAD: The controversy surrounding the £140 million repatriated from the UK echoed during a hearing on Wednesday, as Bahria Town Karachi’s (BTK) counsel informed the court that it had deposited Rs65 billion with the apex court — in line with a settlement over land occupied by the property developer in Malir district.

BTK lawyer Salman Aslam Butt made this claim as a three-member bench took up the matter concerning the implementation of the Rs460 billion, offered by BTK in exchange for 16,896 acres of land in Malir.

“It would be appropriate to issue notices to those other than the Bahria Town Karachi, from whom the payment has been received… since the interest of the parties in the case may be affected,” observed Chief Justice Qazi Faez Isa while dictating an order. The order noted that some of the payments received by the court were not deposited by Bahria Town, instead the payment came from elsewhere.

As a result, the court issued notices to the individuals from whom the payment was received.

Sindh law officer maintains property developer has defaulted on payments

The BTK counsel sought time to furnish a statement after getting instructions from the client. He conceded that only Rs65 billion had been deposited as of yet. The counsel said his client received only 11,747 acres against the promised allocation of 16,896 acres, and added that the payment scheduled for the land needed to be reassessed.

During the hearing, the counsel failed to satisfy the court on whether his client was complying with the court order. He insisted the developer had not defaulted on its payments, but Additional Attorney General Hassan Akbar contested his claim. Justice Isa asked why the real estate developer entered into an agreement which it could not honour.

According to counsel Farooq H Naek, who represented the Malir Development Authority, BTK was in possession of 12,237 acres, whereas the remaining lands had been utilised by the utility providers. The AAG pleaded the amount deposited in the Supreme Court should be handed over to Sindh as it had leased out the land to the MDA. But the MDA said it was entitled to these funds. The court, however, sought relevant documents concerning the nature of the transaction to establish their claims.

Referring to the Oct 20, 2020, Supreme Court’s setting up of a high-powered commission to oversee the disbursement of funds deposited by Bahria Town for the development and welfare of the people of Sindh, the court appointed Mr Naek to assist the court whether it was incumbent upon the CJP to appoint the chairman of the commission.

The court asked Farooq Naek to assist whether the court order could be varied, modified or amended. The next date of hearing is Nov 8 whereas documents by the parties have to be filed by Nov 6.

A similar petition in the court questioned whether the recovered settlement amount could be re-routed to pay off the liabilities of Bahria Town to the benefit of its owner instead of depositing this money in the exchequer.

Published in Dawn, October 19th, 2023