Islamabad—The Capital Development Authority (CDA) has informed the Islamabad High Court (IHC) that lease of the multi-story under construction Grand Hyatt Hotel here at the Constitutional Avenue has been cancelled.
The Secretary CDA Board Asif Shahjahan apprised to the single judge bench of Justice Mohsin Akhtar Kayani that 99 year lease earlier awarded to the BNP (Private) Limited was cancelled due to violation of CDA rules. Violating CDA laws, property worth billions of rupees including 260 flates of the building were sold out by the hotel management, CDA counsel pleaded before the bench. He further maintained that the petitioner had created third party interest without adhering to the CDA bye-laws.
He said on July 1, the CDA had sealed the under-construction- multi-storey hotel for various building and layout plan violations. In the report submitted by the CDA before the court, it was revealed that the first bidding process for the five-star hotel was cancelled on August 2, 2004 while the CDA started the auction process afresh on Sept 28, 2004.