ISLAMABAD: The Capital Development Authority is facing serious allegations of illegally retaining control of 1,083 government residences in Islamabad and withholding mandatory rent payments that should have been deposited into the federal treasury.

The controversy has prompted the Ministry of Housing and Works to prepare a formal briefing for the CDA chairman, while the Public Accounts Committee has directed the Housing Secretary to resolve the issue on an urgent basis. The houses are located in some of the capital’s most valuable sectors but fall under the jurisdiction of the Estate Office.

Audit documents reveal that the Estate Office had abolished nearly all institutional housing pools under the Accommodation Allocation Rules 2002, except those reserved for the Foreign Office and a sensitive state institution. Under these rules, residences allotted to organizations that received funding to build their own housing colonies were to be returned to the federal pool.

Despite these legal provisions, CDA officials allegedly refused to vacate the properties. Sources claim that collusion within the Estate Office allowed the authority to continue occupying the houses, while thousands of federal employees remained on long waiting lists and were forced to rent expensive private accommodation.

The documents also suggest that several original allottees have already retired, yet the residences remain under CDA control. In some cases, officials allegedly transferred allotments to their children, raising fresh concerns over misuse of public assets and weak regulatory oversight.

Adding to the controversy, the CDA is accused of retaining the five per cent standard rent collected from occupants instead of depositing it into the national exchequer. If confirmed, the findings could trigger a major accountability battle over one of Islamabad’s largest and most sensitive government housing disputes.