ISLAMABAD: One of the largest land scams in the twin cities has come to light, revealing how private housing schemes and cooperative housing societies allegedly defrauded citizens of hundreds of billions of rupees through overselling of plots, fictitious memberships, and deceptive land marketing practices spanning many years.

According to informed sources, a comprehensive probe by NAB Rawalpindi uncovered startling irregularities showing that thousands of citizens were lured into investing in housing projects that lacked legally acquired land, approved Layout Plans (LoPs), or any real ability to deliver possession.

91,000 Plots Sold Beyond Approved Layout Plans

The NAB investigation found that housing schemes in Islamabad and Rawalpindi collectively sold around 91,000 plots and files beyond their approved LoPs or available physical land. This staggering figure indicates systematic overselling, driven by aggressive marketing campaigns designed to mislead purchasers about the scale and legitimacy of the projects.

In addition, private schemes advertised and sold approximately 80,000 kanals of land that did not exist in approved records — a practice that regulators and experts describe as one of the most brazen forms of consumer fraud in the real estate sector.

Sources said that just private housing schemes alone sold 26,000 plots/files in excess of available land and marketed nearly 80,000 kanals of nonexistent land.

20,000 Fake Memberships Issued Without Land

An equally alarming aspect of the probe involved cooperative housing societies, long considered relatively more trustworthy. NAB’s findings reveal that these societies allotted nearly 20,000 memberships despite having zero land to back them.

Several societies also collected billions of rupees by promising development that never materialized, leaving thousands of allottees waiting endlessly for possession.

One cooperative society alone has 5,000 members still awaiting possession. Another issued 35,000 plots beyond its available/approved land, while a third handed out 6,000–7,000 excess memberships. The fourth society investigated failed to provide around 9,000 plots to its members.

In total, nearly 65,000 plots across multiple societies could not be handed over to buyers due to the non-availability of land or incomplete development, exposing a crisis of unprecedented proportions.

Related: From Dumper Driver to Billionaire: NAB Arrests Alleged Ringleader in Rs40 Billion Financial Scam

A Mega Private Scheme Sold 30,000–40,000 Plots With No Approval

A particularly prominent private housing developer (not yet identified publicly) emerged as a prime example of systemic deceit.

• Applied for LoP approval for just 4,000 kanals in 2022
• Advertised itself as a 75,000–100,000 kanal mega project
• Marketed the scheme as an 80,000-kanal flagship housing venture
• Sold 30,000–40,000 plots
• Generated Rs 50–60 billion from unsuspecting buyers
• Purchased only 34,000 kanals in 3 years, all scattered and unplanned
• Obtained no NOC or regulatory approval

Despite massive land sales and public claims, the society has failed to secure approvals or ensure proper development — leaving tens of thousands of allottees in limbo.

NAB Confirms Findings, Identifies Land Scam

DG NAB Rawalpindi Waqar Chouhan confirmed the figures and the scale of the scam. He said NAB worked closely with the Cooperative Department and relevant regulators to collect data and authenticate findings.

He also disclosed that NAB is working on a reform package aimed at addressing deep-rooted structural weaknesses in the housing sector to safeguard citizens from such exploitation in the future.

Officials involved in the investigation noted that the cumulative financial damage caused to citizens runs into hundreds of billions of rupees, affecting government employees, professionals, retirees, and other ordinary Pakistanis who invested their life savings in hopes of securing a home.

Thousands of Families Left in Hardship

The probe revealed severe suffering among victims — many families waiting more than a decade for possession, despite repeated assurances and payment of hefty dues. Land remains unavailable, development incomplete, and regulatory enforcement weak, leaving citizens trapped in a cycle of uncertainty.

A Systemic Failure of Oversight

Observers say this crisis stems from:

• regulatory loopholes
• administrative negligence
• deliberate fraud by developers
• lack of effective monitoring by authorities
• misleading advertising and inflated land claims

The revelations reinforce longstanding concerns that Pakistan’s real estate sector remains vulnerable to manipulation, with insufficient checks to protect ordinary citizens from predatory schemes.

With the case now under NAB scrutiny, thousands of affected allottees are hoping for accountability, recovery of their investment, and long-delayed possession of their land. However, given the sheer scale of the scam, experts warn that resolution may take years.