ISLAMABAD – The Islamabad High Court has directed the federal government to dissolve the Capital Development Authority (CDA).
IHC Justice Mohsin Akhtar Kayani issued a written verdict, declaring the CDA’s SRO on Right of Way and Access Charges null and void.
The court ruling stated that all actions taken by the CDA under the said SRO are considered illegal. If any money was collected by the CDA under this SRO, it must be returned.
The court further ordered that the CDA be dissolved, and all its powers and assets be transferred to the Metropolitan Corporation.
The government must initiate and complete the process of dissolving the CDA, the judge remarked.
The high court, in its judgment, noted that the CDA Ordinance was enacted for the establishment of the federal government and its developmental activities. However, with new laws and governance systems in place, the practical utility of the CDA Ordinance has come to an end.
The original purpose of establishing the CDA has been fulfilled, and now the government should dissolve it.
According to the court’s decision, the federal government must ensure that, after the transfer of powers, the Islamabad administration operates transparently and remains accountable.
The rights of Islamabad’s citizens must be protected under the law. The entire administrative, regulatory, and municipal framework of Islamabad functions under the Local Government Act, the verdict said.
The decision further stated that the Islamabad Local Government Act is a special governance law through elected representatives.
According to this law, no taxes can be imposed without the approval of the local government. The CDA has no legal authority to levy taxes and had imposed a Right of Access tax on petrol pumps and CNG stations.