ISLAMABAD: Prime Minister Shehbaz Sharif on Friday ordered an immediate halt to the eviction of residents from the high-rise towers of One Constitution Avenue and constituted a high-level committee to review the matter.
According to a statement issued by the Prime Minister’s Office, no action will be taken by the Capital Development Authority (CDA) or the Islamabad administration until a final decision is made. The committee, headed by Law Minister Azam Nazeer Tarar, includes Minister of State for Interior Talal Chaudhry, the cabinet secretary and the commerce secretary. It has been tasked with examining the case and submitting a comprehensive report within one week.
The statement said the committee will listen to all affected parties without discrimination and ensure that justice is served. Individuals affected by the issue have been invited to present their cases before the body.
The development came hours after the Islamabad administration, backed by a heavy police contingent, launched an operation early Friday to evict residents from the twin towers following a court ruling. The operation was later suspended after several apartment owners approached the Prime Minister’s Office.
A day earlier, the Islamabad High Court upheld the CDA’s decision to cancel the lease of the multi-billion-rupee One Constitution Avenue project over payment defaults. The verdict was announced by Chief Justice Sardar Mohammad Sarfraz Dogar on appeals filed by M/s BNP (Private) Limited and apartment occupants.
The case relates to the controversial Grand Hyatt project in Islamabad’s Red Zone, originally awarded to the BNP Group nearly two decades ago for construction of a five-star hotel. However, the project was later converted into residential apartments and commercial units, leading to legal disputes.
Sources said several influential individuals, including politicians and prominent figures, are among the apartment owners affected by the eviction order.
According to the 2017 list, some of the owners of One Constitution Avenue apartments include: Imran Khan, Shandana Gulzar, Kashmala Tariq, Khawaja Asad, son of Khawaja Asif, former naval chief Asif Sandaila, General (retd) Ahsan Azhar Hayat, former foreign secretary Salman Bashir, former defence minister Ahmad Mukhtar, commerce minister and former chief minister Balochistan Jam Kamal, former caretaker PM and chief justice Nasirul Mulk, former chief justice Lahore High Court Iftikhar Hussain, senior journalist and former PEMRA chairman Absar Alam, former ICC and PCB chairman Ehsan Mani, senior analyst Naseem Zehra and Barrister Aitzaz Ahsan.
Earlier, police and the district administration took control of the multi-storey residential building on Constitution Avenue following the IHC ruling.
Police teams were deployed at all entry points of the “One Constitution Avenue” building, and residents were instructed to vacate their apartments by midnight. Several flats were already vacated, while occupants of some units were still moving their belongings.
The case centres on the CDA’s cancellation of the project’s lease. BNP Company had challenged the decision in the IHC, seeking restoration of the lease.
Residents argued that the CDA had approved the building plan and issued a no-objection certificate (NOC), after which apartments were purchased. They maintained the dispute was between the CDA and the developer and should be resolved between the concerned parties.
Separately, State Minister for Interior Senator Talal Chaudhry Friday announced a decisive nationwide strategy to eliminate illegal occupation of state land and said that no individual, group or company would be allowed to defy the law, as the government had moved to firmly re-establish the writ of the state.
Addressing a press conference in Faisalabad, he said the government had taken a clear and irreversible decision to act against encroachments, lease violations and unlawful use of public assets across the country including the federal capital. “The era of selective enforcement is over. The law will apply equally to all whether it is a slum dweller or the owner of a multi-billion-rupee project”, he said, adding that no individual, group or corporate entity, regardless of its political influence, financial strength or administrative connections, would be allowed to remain above the law.
Referring to recent developments in the high-profile One Constitutional Avenue case in Islamabad, the state minister said that the latest court verdict had once again reaffirmed the state’s resolve to act against illegal occupants and regulatory violations without discrimination. He termed the case an example of how influential elements had, for nearly two decades, exploited legal loopholes, delays and connections to challenge state authority.
He said it had become necessary to place all facts before the public amid circulating reports about the project so that the people could understand how national resources were allegedly misused over the years. He explained that the project originated in 2005 when the government leased prime land in Islamabad for construction of a five-star hotel and service apartments to cater to foreign delegations and international events. A consortium comprising Bismillah Group, Niagara Group and Paragon Group — collectively known as BNP — acquired the land for approximately Rs4.8 billion. However, the consortium later violated multiple clauses of the lease agreement, altered the project’s intended purpose and attempted to use the land for commercial gains beyond the approved scope. The land was transferred to another entity Elite Home Fashion through questionable means while the company’s name was changed in official records to obscure liabilities. Instead of constructing a hotel as required, the developers built 253 residential apartments in clear violation of the lease terms.
The state minister revealed that the land was mortgaged to the Bank of Punjab to secure a loan of around Rs3.5 billion despite incomplete payments, after which the company defaulted, pushing the matter into legal and financial disputes, including proceedings before accountability institutions. The company repeatedly ignored notices issued by the Capital Development Authority (CDA) and even got its payment schedule rescheduled twice while continuing to defy legal and regulatory obligations. “They mistook the state’s patience for weakness, but that situation has now changed.”
Tracing the legal history, Talal said the Federal Investigation Agency initiated an inquiry into the matter in 2015, followed by multiple court proceedings. In 2016, the CDA cancelled the lease and took over possession of the project after due process. Subsequent rulings by the Islamabad High Court upheld the CDA’s stance, with the latest judgment marking the fourth major legal endorsement of the government’s position.
Rejecting claims that the property was recently “seized”, he clarified that the CDA had been in possession of the building since 2023 and recent actions were aimed at implementing court orders and informing the public. He said that out of 253 illegally-constructed apartments, 184 were currently vacant, reflecting widespread awareness of the project’s disputed legal status. The land — spread over more than 13 acres in a prime location — is now valued at approximately Rs250 billion, far exceeding its earlier assessed worth of Rs17.5 billion. “Such a massive national asset cannot be allowed to be exploited for private gain.”
He said influential individuals and powerful networks were involved in the case and hinted that revelations about those responsible would “astonish the nation”. He maintained that all those found involved in wrongdoing would be held accountable without exception. Several third-party buyers and investors have been affected due to alleged fraud by the developers. He announced that the government had established a “one-window grievance cell” to facilitate such individuals, where claims would be processed in accordance with court decisions.
He said disputes involving contractors, marketing firms, banks and partners had further complicated the case, turning it into a prolonged legal battle. However, he stressed that the government was determined to conclude such matters decisively and restore confidence in the rule of law. Highlighting the broader implications, he said illegal concessions to select entities had damaged Pakistan’s investment climate by undermining fair competition. “When one party is given undue advantage, genuine investors lose trust. That must end,” he added.
Reiterating the government’s commitment, the state minister said that enforcement actions against illegal occupants and misuse of public land would continue across Pakistan. “Without establishing the writ of the state, there can be no sustainable development, investment or public confidence,” he said, adding that the time had come to end the longstanding nexus of power and illegality once and for all.
