The Islamabad High Court (IHC) bench handling a petition challenging the National Accountability Bureau’s (NAB) planned auction of several Bahria Town properties dissolved itself on Monday. The case was subsequently referred to Chief Justice Sarfraz Dogar for further proceedings.
Justice Arbab Muhammad Tahir explained that since he had previously dealt with the matter in an intra-court appeal, it was appropriate to forward the case file to the chief justice. NAB had scheduled the auction of five Bahria Town properties for July 7.
During the hearing, Justice Tahir questioned Bahria Town’s lawyer, Farooq H. Naek, about any earlier writ petitions related to the case. Naek confirmed that such a petition had been resolved by Chief Justice Sarfraz Dogar. The judge also addressed NAB prosecutor Rafi Maqsood, querying why he was present without an official notice issued to NAB. The prosecutor responded that he was there to assist the court if required.
Justice Tahir further inquired about any prior intra-court appeals. The NAB prosecutor stated the matter was currently pending before the Supreme Court, where similar relief was being sought. He added that an Islamabad High Court division bench had previously dismissed the petition.
Given that Chief Justice Dogar was available, Justice Tahir directed that the case be fixed before him, emphasizing that the chief justice had already presided over related proceedings. The case file was sent to the chief justice so the petition could be addressed later the same day.
The controversy dates back to August 2025, when NAB began auctioning assets linked to Bahria Town founder Malik Riaz. This move caused widespread uncertainty among residents, investors, and property dealers across Bahria Town projects in Karachi, Rawalpindi, Islamabad, Lahore, and Nawabshah.
Residents reported a noticeable decline in municipal services such as security patrols, garbage collection, and general maintenance amid fears that the housing society’s operations might be disrupted. Property transactions also slowed considerably as investors became cautious due to the ongoing legal uncertainty.
At the time, Information Minister Attaullah Tarar reassured residents that their rights would remain protected, clarifying that the investigation targeted alleged money laundering and illegal financial activities, not homeowners. Malik Riaz denied the accusations and criticized government actions, including arrests of employees, freezing of bank accounts, and seizure of vehicles, which he claimed disrupted Bahria Town’s functioning.
The legal proceedings are connected to the Al-Qadir Trust case, in which Malik Riaz was declared a proclaimed offender. Earlier accountability court orders had frozen properties owned by him and his son, Ahmed Ali Riaz. Additionally, properties pledged as collateral under a 2020 plea bargain involving his son-in-law, Zain Malik, became subject to auction after an alleged default on the settlement.
These ongoing court cases form part of the broader dispute concerning Bahria Town’s assets and management.