The Islamabad High Court (IHC) has officially cleared the path for the National Accountability Bureau (NAB) to go ahead with the auction of Bahria Town’s assets, dismissing all petitions filed against the process.
The verdict, issued on Tuesday, effectively removes legal barriers surrounding the auction of six properties—five in Rawalpindi and one in Islamabad—that belong to the real estate giant Bahria Town.
This judicial nod allows NAB to proceed with the scheduled public auction set for August 7, 2025, part of its broader effort to recover massive amounts of looted public money and settle financial claims tied to illegal land allotments and corruption cases.
Background of the Case
Bahria Town seized the properties in question during investigations into financial irregularities and illegal land acquisitions.
The accountability watchdog argued that the acquisition of these assets through questionable means necessitated their liquidation to compensate affected parties and the national exchequer.
Several individuals had approached the IHC to halt the sale, arguing ownership claims and questioning the legality of the asset seizures.
However, the court ruled in favor of NAB, affirming the bureau’s authority to confiscate and dispose of assets gained through corrupt practices.
Details of Properties up for Auction
Although official auction listings are expected to be released publicly by NAB, sources confirm that the assets include prime commercial and residential plots, including developed land within Bahria Town’s high-value sectors.
The court’s green light now enables NAB to invite bids and initiate transfer proceedings post-auction without further legal encumbrance.
Court proceedings.
Bahria Town’s senior lawyer Farooq H. Naik contended that NAB’s auction notice was “illegal, deceptive, and issued with mala fide intent.”
Farooq H. Naik asserted that since Bahria Town was not part of a plea bargain, the auction notice incorrectly targeted the properties. The £190 million case did not include Bahria Town as an accused party.
He cautioned that the sale will undermine due process and investor trust by setting a hazardous precedent.
NAB prosecutor Rafay Maqsood claimed that Bahria Town’s chairman and his son, Ali Riaz, defaulted on payments after agreeing to a £190 million plea bargain. NAB auctioned pledged properties under Section 33E of the NAB Ordinance, 1999, to recover the remaining payment.
Mr. Maqsood stated that the petitioners appealed to the IHC after a trial court rejected a similar request. He noted that the high court initially postponed the auction on June 12, the scheduled date. NAB then requested the lifting of the auction’s stay.
Bahria Town’s legal team maintained that the corporation was not implicated in the £190 million corruption lawsuit, which stemmed from a 2019 NCA-Malik Riaz deal.
After the ruling, the auction will proceed on August 7.
The auction will take place on August 7th, 2025.
Following the cancellation of the IHC’s stay order against the auction in June, the NAB announced the auction of the six properties on Thursday.
According to the anti-graft body, successful bidders must pay 5 percent of the property’s value on auction day, 10 percent in a month, and the remaining 85 percent in three months.
In a notification issued on Tuesday, NAB listed six properties, including corporate offices on Plots 7-D (estimated value of Rs871m) and 7-E (estimated value of Rs881m) in Bahria Town’s Phase-II, Rawalpindi; Rubaish Marquee and Lawn in Islamabad (Rs488m); Arena Cinema (Rs1.1bn), Bahria Town International Academy (Rs1.07bn), and Safari Club (Rs1.2bn) in Bahria Town, Rawalpindi.
In February, the accountability watchdog filed a reference against Malik Riaz, some Sindh legislators, and others for transferring land to Bahria Town.
Islamabad High Court’s Observations.
The court, presided over by Justice, emphasized the importance of ensuring justice in white-collar crime cases and expressed confidence in NAB’s procedural transparency.
The court observed in its brief order that the petitions lacked merit and did not present sufficient grounds to delay or block the auction process.
NAB’s Official Statement
In response to the IHC’s decision, NAB issued a statement reaffirming its commitment to holding the corrupt accountable and recovering stolen national wealth. “The court’s verdict upholds the rule of law and strengthens the accountability process. The auction will be held transparently and competitively as per legal guidelines,” said a NAB spokesperson.
Implications of the Decision.
This landmark judgment could set a precedent for future NAB-led recoveries involving controversial real estate empires. Bahria Town, often under scrutiny for its expansive land holdings and dealings with various government authorities, now faces intensified oversight and potential further asset forfeitures.
The decision could significantly impact Bahria Town’s operations and future projects.
Legal experts believe that the ruling paves the way for swift actions against other developers and business entities that the NAB is currently investigating. This could lead to increased scrutiny and potential asset forfeitures for entities involved in similar financial misconduct and land encroachment cases.
Upcoming Auction—What’s Next?
- Auction Date: August 7, 2025
- Location: NAB Regional Office (details to be advertised)
- Participation: Open to all eligible bidders through a transparent bidding process
- Assets: Five Bahria Town Rawalpindi properties and one Islamabad property
Potential buyers, investors, and legal representatives are expected to participate in the much-anticipated auction, which could bring in billions of rupees in recoveries for the state.
Conclusion
The decision by the Islamabad High Court to dismiss the petitions is a major victory for accountability and transparency in Pakistan’s real estate sector. With the green light granted, NAB now fully authorized to carry out the auction and reclaim public resources.
This development also sends a powerful message that no entity—no matter how influential—is above the law when it comes to financial misconduct and land encroachment.
Stay tuned for updates on the auction outcomes and any further legal developments surrounding Bahria Town’s ongoing cases.