ISLAMABAD: The Islamabad High Court (IHC) on Saturday directed federal government to dissolve Capital Development Authority (CDA) and transfer all of its assets, powers and duties to Metropolitan Corporation Islamabad (MCI).
The High Court also declared the CDA’s move to impose right-of-way charges in return for providing direct access to petrol pumps, and CNG stations from major highways as illegal.
Justice Mohsin Akhtar Kayani issued a written judgment.
CDA, MCI directed to address issues facing street vendors/stallholders
The court declared the CDA’s SRO on right-of-way and access charges null and void and said that the federal government should initiate and complete the process of dissolving CDA. All powers and assets should be transferred to MCI.
The written decision states that all the steps of the CDA under the SRO are declared illegal, if the CDA has received any money from anyone under the SRO, it should be returned.
The Islamabad High Court said that the CDA Ordinance was enacted for the development works, the practical usefulness of the CDA Ordinance has been lost with the new laws and governance.
The court said that it should be ensured that after the transfer of powers, the Islamabad administration is transparent and accountable, the protection of the rights of the citizens of Islamabad should be ensured under the law, and all administrative, regulatory and municipal framework of Islamabad works under the Local Government Act.
The written decision states that the Islamabad Local Government Act is a special law for governance through elected representatives. According to the law, taxes cannot be imposed without the approval of the local government. The CDA has no legal authority to impose taxes.
It should be noted that the CDA had imposed a right of access tax on petrol pumps and CNG stations.
In addition, a direct access tax was imposed on housing societies from the main highway.
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