While taking notice of the extensive concerns and woes of the people about the prima facie deceptive marketing practices by the different housing schemes in the province of Punjab, the Competition Commission of Pakistan (CCP) has introduced an investigation to check whether these schemes have broken the section 10 of the Competition Act 2010.
The Lahore Development Authority has informed via a letter that 88 housing schemes in Lahore and its neighbouring areas of Kasur, Nankana Sahib and Sheikhupura were attracting investors and the general public via print and TV ads for making an investment in their schemes, without meeting the lawful needs and in violation of the important laws. LDA is seeking fro a plan to ban on advertising the campaigns of such scheme to protect the citizens from financial losses.
While taking a Suo moto notice of the complaints and concerns of the public, the CCP has started an inquiry to thoroughly look into these housing schemes and submit an inquiry report to the commission.
As part of the investigation, the inquiry team has paid a visit to the 62 housing schemes for seeing the situation on the ground and has planned to visit the remaining schemes.
The team has also met with the DG LDA and other related officials for acknowledging them about the important issues and to explore the ways to cooperate and coordinate in the areas of shared interests.
It is very common in Pakistan that many of the real estate developers and marketers are a part of the deceptive marketing practices as well as in suspicious financial dealings. Not just these firms to make false claims but they also project wrong facts in terms of their payment plans and locations.
These firms ask for the hidden and raised charges from the customers and make extended delays in offering possession of the property to their owners.
The measure taken by the CCP is well needed however the various authorities must also investigate the misguiding practices of the real estate developers and marketers in Pakistan and make them accountable.
Such authority would not just safeguard the interest of the customers and their money but would also be improving the contribution to the economy and would boost the real estate industry of the country by offering transparency in a systematic way.