ISLAMABAD: The Capital Development Authority (CDA) expects that the next month auction of commercial and residential plots will generate money enough for smoothly executing ongoing mega development project.

The CDA board on Tuesday approved putting 58 commercial and residential plots for auction on Jan 24, 25 and 26 at Jinnah Convention Centre.

The civic agency is expected to fetch over Rs 20 billion from these three-day auction.

For this auction, the CDA announced incentive for investors as for the first time, time for constructing building has been enhanced for large size of plots. Earlier, there was a three-year time for all size of plots.

However, this time round, the CDA has decided that three year time will be given for construction of building on plots up to 1,000 square yards, four year for 1001 to 3000 sq yard and five-year time will be given for plot from 3001 and above.

Similarly, the CDA board also decided to give five percent rebate to Overseas Pakistani, who will make payments through foreign remittance/of ficial banking channels with proof within 30 days of the provisional bid acceptance letter.

`This is in recognition of the remittances that provide a much-needed inflow of dollars to boost foreign exchange reserves,` said a CDA director.

The CDA board, which met here at civic agency`s headquarters with Chairman Mohammad Usman in the chair, approved the auction plan for next month.Sources said that out of 58 plots, 12 are residential of Park Enclave I and II.

Commercial plots are located in various sectors including Blue Area and sector I-8. This time CDA also decided to auction few plots for schools and hospitals. For the first time, the CDA also decided to put five commercial plots of various sizes locate d on northern strip of E-11 on auction.

Speaking to Dawn, CDA officials said that this auction is much needed for civic agency as its various mega development projects are in progress that include construction of Margalla Road, Bhara Kahu bypass, Expansion of expressway and IJP road, etc.

The of ficials said that CDA`s current financial position is alarming.

During the last few years, various directorates of the CDA without calling tenders spent around Rs20 billion on development works including what many of ficials say some unnecessary ones.

Under quotation system, only work wroth Rs500,000 can be carried out that too in highly emergency basis. However, in CDA a group of few officers illegally got carried out work worth Rs20 billion, by splitting in pieces, through quotations.

Surprisingly, this mega alleged fraud case, could not get attention of Auditor General of Pakistan, as not a single audit para was made in this regard.

However, a few months ago, the CDA Chairman ordered an inquiry into this mega scam, which has been f acing delay in completion.

`Since, we are facing shortage of funds, we are pining high hope on this auction, we are expecting to fetch over 20 billion from it, said a board member.