One Constitution Avenue in Islamabad to become a five-star hotel, says Naqvi
Interior Minister Mohsin Naqvi said the government has legally taken possession of One Constitution Avenue and plans to turn it into a five-star hotel in the coming months. The federal cabinet has approved a JIT report that found irregularities in the project.
- Government says it has legally taken possession of One Constitution Avenue in Islamabad.
- Interior Minister Mohsin Naqvi says it will become a five-star hotel in the coming months.
- Ahsan Iqbal says the JIT found irregularities and rigging, and named Abdul Hafeez Shaikh as the mastermind.
- Information Minister Attaullah Tarar says the matter will be referred to NAB.
Interior Minister Mohsin Naqvi announced on Wednesday that One Constitution Avenue in Islamabad will be converted into a five-star hotel. He said the government hopes to complete the work within the next few months.
Naqvi said a joint investigation team (JIT) report on the project was presented to the federal cabinet and action had been taken on its recommendations. He said the government had now legally taken possession of the property. According to the reports, the government plans to sign an agreement with a large hotel chain for the project.
On payments to people connected with the building, Naqvi said: "As per JIT recommendations, we will try to make rightful payments to the occupants." Associated Press of Pakistan reported that he also said the plan would help address the shortage of hotels in Islamabad.
Planning Minister Ahsan Iqbal, speaking at a press conference, said the JIT found "irregularities and rigging" in the project. He said the team included members from NAB, FIA, FBR, SECP, IB and ISI. According to Iqbal, the bidding process was manipulated, a bank guarantee precondition was removed to favour the developer, and the apartments were sold illegally although the project was first approved as a five-star hotel.
Iqbal said the Capital Development Authority (CDA) was found negligent and involved in the irregularities and fraud. He said the JIT identified Abdul Hafeez Shaikh as the mastermind, who had connived with CDA officers. He also named former CDA chairman Kamran Lashari, Dr Faisal Awan and Azhar Ali Chaudhry as involved. These are allegations made by the minister, as reported by The Express Tribune.
Iqbal said the JIT recommended that Shaikh and his company be prosecuted and blacklisted from future public sector projects. It also recommended overhauling the CDA and its ordinance and setting up an independent master plan commission. He said the government is responsible for compensating deceived investors, with the principal amount returned along with interest.
Information Minister Attaullah Tarar said the JIT identified shortcomings dating back to the mid-2000s and recommended that the matter be referred to the National Accountability Bureau for further investigation. He said the government would protect bona fide investors who bought apartments without knowing about the irregularities.
Why it matters for Pakistan
The building is state-owned property in Islamabad, so the decision changes how a major public asset will be used. Apartment buyers are directly affected: Ahsan Iqbal said deceived investors would get their principal back with interest, and Attaullah Tarar said bona fide buyers would be protected. The government has also said the case will be referred to NAB and that the CDA needs an overhaul.
