Irregular housing practices put CDA under scrutiny

The CDA is facing allegations of unlawfully retaining 1,083 government residences in Islamabad and not depositing mandatory rent into the federal treasury. The Ministry of Housing and Works and the Public Accounts Committee have moved to address the issue.

News Desk

News Desk

May 18, 2026

2 min read
Irregular housing practices put CDA under scrutiny

ISLAMABAD: The Capital Development Authority is facing scrutiny over allegations that it has continued to occupy 1,083 government residences in key sectors of the federal capital that fall under the Estate Office, while also not depositing the mandatory five per cent standard rent into the federal treasury from the time the houses were allotted.

According to documents, the Ministry of Housing and Works has decided to take up the matter with the CDA chairman. The Public Accounts Committee has also recommended that the housing secretary address the issue on an urgent basis.

Audit objections and housing rules

Audit authorities raised objections after the Estate Office abolished all accommodation pools except those reserved for the Foreign Office and a sensitive state institution, while also setting a limit on the number of government residences to stop any further increase.

Under Clause 4 (1&2) of the Accommodation Allocation Rules 2002, residences allotted to institutions that had received funds to build their own housing colonies were to be taken back, and all other pools were to be abolished. However, documents indicate that CDA officials allegedly did not vacate the residences.

The records further state that Rule 24 of the Estate Office regulations gives the authorities the power to cancel allotments and repossess properties at any time. Despite this, the residences were allegedly not recovered.

Allegations of collusion

The documents suggest that the continued occupation of the houses was made possible by alleged collusion within the Estate Office. It is alleged that this situation has left thousands of government employees on waiting lists and living in expensive private accommodation instead of being provided official housing.

According to the same documents, several of the original allottees occupying residences held by the CDA have already retired. In a number of cases, allotments were also reportedly transferred by CDA officials to their children.

It was further alleged that the five per cent rent collected from occupants was retained and used by the CDA itself rather than being deposited into the federal treasury as required under the law.

Matter referred for action

The issue has now been flagged at the official level, with the Ministry of Housing and Works moving to place it before the CDA chairman. The Public Accounts Committee has separately called for immediate resolution through the housing secretary.

The allegations centre on the occupation of government residences under Estate Office jurisdiction, the implementation of accommodation rules, and the handling of rent collected from the occupants. The documents also raise questions about the non-retrieval of houses despite the legal authority available to the Estate Office under existing regulations.

The matter has drawn attention because of its implications for official housing management in Islamabad, particularly for employees awaiting government accommodation.

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