Daily Times

KARACHI: Land control authorities of Karachi Development Authority, Karachi Metropolitan Corporation, Malir Development Authority, Lyari Development Authority, Sindh Building Control Board (SBCB) and six Cantonment Boards (CBs) are depriveing around 50-55 percent of revenue earnings on different heads of land charges on daily basis.

“The slowdown process of mortgage facility by commercial banks, ban on lease and sub-lease by Supreme Court of Pakistan, submission of new building plans and stoppage in acquiring no objection certificate on land confirmation can be attributed to decline in revenue earnings”, officials of these civic bodies revealed.

The owners of plots and houses besides private builders, desirous to get transfer, mortgage or gift of their assets, have been facing bottlenecks in this regard.

Earnings on non-utilisation fee on plots has also witnessed decline as plots owners now have no facility of commercial banks’ loans.

Officials of KMC and KDA were of view that their respective concerned departments would likely to fail in meeting the budget target in on-going fiscal year.

“Banks are of the view that because of ban by SCP on lease, sub-lease and transfers of commercial and residential buildings and plots, they have no option rather than to stop mortgage process or provide loans as there has been strict conditions of leased documents for obtaining bank loan”, an official of a local bank asserted.

Ban on illegal constructions and commercial plazas on residential plots and violation of land utilization are also one of the impediments in this respect.

Meanwhile, Director General SBCA, Agha Maqsood Abbas has said the orders of court to process leases; sub-lease and sale deed conditional to the approval of building plan is of importance in preventing illegal buildings.

After power sharing of Local Government Department (LGD) Sindh in all civic bodies’ matters and slowdown in earmarking new government lands for commercial and residential plots for general public is also a reason towards lessening of revenue earnings of the land control authorities of the civic bodies, an official of LGD informed.