Interior Minister Mohsin Naqvi on Wednesday announced that the government would convert the controversial One Constitution Avenue project in Islamabad into a five-star hotel within months, following the federal cabinet's approval of a joint investigation team's (JIT) report. Addressing a press conference in Islamabad, Naqvi said the government would approach a major international hotel chain to operate the building, which was originally approved for a five-star hotel.
"We will make every effort to convert this building into a five-star hotel within the next few months, which was its original purpose," the interior minister said. He noted that Islamabad faced a severe shortage of hotels and expressed hope that an agreement with a major hotel chain would be finalised soon.
Naqvi said the federal cabinet had approved the JIT's findings, paving the way for the government to take legal possession of the property. He maintained that the Capital Development Authority (CDA) already held possession of the building in official records, but the cabinet's decision had now provided the necessary legal basis.
The minister said the CDA's member administration would immediately assume responsibility for managing the building's affairs, with the government's priority being to make the hotel operational as soon as possible. He also assured that individuals entitled to compensation under the JIT's recommendations would receive their payments.
Naqvi thanked Prime Minister Shehbaz Sharif for supporting the government's position despite criticism following its earlier move to take possession of the property. He maintained that the government was determined to apply the law equally, regardless of an individual's financial or social standing.
Speaking at a separate press conference alongside Information Minister Attaullah Tarar and Minister of State Talal Chaudhry, Planning Minister Ahsan Iqbal said the federal cabinet had approved the JIT report investigating irregularities in the project. He said the inquiry found that the project had been executed through manipulation of the bidding process, unauthorised relaxation of rules and suspicious documentation.
According to the JIT's findings, the first auction was cancelled without approval from the CDA Board, while a subsequent auction was conducted under revised terms. The report also found that restrictions concerning building height, covered area and parking requirements were relaxed without the board's approval.
Iqbal said the project had originally been approved as a five-star hotel but apartments were subsequently sold in violation of the approved purpose. The JIT report states that 254 apartments were sold through 99-year sub-leases despite the project's approval as a hotel with serviced apartments.
The inquiry also found that the lease was awarded to a private company, although the successful bidder was a four-member consortium and the company was not among its members. It further identified irregularities involving the removal of a bank guarantee requirement shortly before the lease agreement was signed.
The report also raised questions about the authenticity of the project's documentation, including allegedly forged signatures and irregular registration of the lease. Iqbal said the JIT identified Abdul Hafeez Shaikh as the alleged mastermind behind the irregularities, along with several former CDA officials and other individuals.