CDA sells 17 precious commercial plots in 'uncompetitive environment'.

ISLAMABAD -- An additional and irrational financial burden taken on their shoulders by the city managers forced the Capital Development Authority to sell its precious commercial land bank in an uncompetitive environment-leaving the city body in the loss of billions of rupees.

It is relevant to note here that the CDA, just after a gap of five months is conducting the second auction as in January this year, it had auctioned plots worth Rs41 billion (initially) and later on, that auction matured at Rs30 billion as some investors surrendered their bids.

The city managers have planned to fetch over Rs.20 billion through said auction however they could hardly reach to Rs.19.325 billion by selling 17 plots in three days long auction.

It is evident from the record that extraordinary liabilities have been created against the CDA due to multiple ongoing projects that were initiated on the directions of the federal government beyond going to the mandate of civic authority purely on political grounds.

As for instance, CDA has nothing to do with the operations of metro bus services as nowhere in the country such a facility is being run by any city development authority but there are 3 metro bus routes currently being financed by the city managers from its own kitty.

Meanwhile, the Bara Kahu Bypass project, which should be constructed by the National Highway Authority was also taken up by CDA through its own funding that created an extra burden of billions of rupees.

Similarly, projects like winding and improvement of IJP road, Margalla Avenue were also beyond the mandate of CDA as same will cater to the interprovincial traffic, whereas, the signal free Islamabad Expressway was initially planned to be funded through Public Sector Development Program but same was diverted towards the city body as well.

The present government also put an extra burden of about Rs.10 billion for the development works in the rural parts of the city, which also do not come directly under the domain of CDA.

Sources inside the CDA informed that due to the second auction after such a short interval, there was very limited competition seen...

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