Islamabad - The Islamabad High Court (IHC) yesterday turned down a petition of the BNP Private Ltd. against the decision of CDA to seal its multi-storey under construction building of the Grand Hyatt Hotel.

A single bench of IHC comprising Justice Mohsin Akhtar Kayani announced the decision which he had reserved after the hearing of a petition through which petitioner had challenged sealing of its leased area measuring 13.5 acre comprising high-rise serviced apartments and under construction hotel Grand Hyatt by the Capital Development Authority (CDA).

It was July 1, 2016 when CDA sealed the area and later cancelled lease of the land on July 29 whereas the the BNP group had challenged sealing of its area.

Justice Kayani noted in his verdict: “Keeping in view the above referred circumstances and changed scenario, the instant writ petition has become infructuous as the CDA board has finally decided the entire matter and even allotment of plot has been cancelled by the CDA board, therefore, the instant writ petition stands dismissed as having become infructuous”.

Explaining July 2, 2016 restraining order at the BNP’s writ petition against sealing of its area, the IHC bench noted that the order was only to the extent of preserving structure of the building.

The counsel for CDA Kashif Ali Malik had been contending in this matter before the court that civic body has powers of  a regulatory body and it can apply its independent mind to decide the matters in accordance with law.

On the other hand, the counsel for BNP group counter argued that it was mala fide on part of the CDA to cancel the lease as the case was pending before the court.

He added that the civic body took the decision of terminating the lease just to make petitioner’s case regarding sealing of the area less effective. Then, BNP counsel requested the court to restrain CDA from demolishing the building structures at the area. 

On July 20, CDA in a detailed report had told IHC bench that how illegalities were committed in the lease of the said property and later in building bylaws.

How lease of land was extended from 33 years to 99 years, how permission for the construction of 124 serviced apartments turned into construction of 240 flats and how the lease amount was rescheduled from 2015 to 2026.

On August 3 CDA produced a lease cancellation letter before the IHC at which court reserved its judgment that was announced on Thursday.