According to reports, former minister for housing Syed Safwanullah, who belonged to the MQM, allegedly issued 3,281 eligibility certificates for government properties and accommodations in Karachi estimated to be worth Rs450 billion among favoured individuals, few retired government officials and ordinary public.
When the scam first came to light MQM leaders vehemently denied any wrongdoing by the former minister and tried to hush up the matter. However, the government could not ignore the case in view of alleged massive irregularities.
The matter became such important that Prime Minister Syed Yousuf Raza Gilani had to intervene and announced cancellation of all allotments and ordered all those who were occupying the properties to be ejected immediately.
When the alleged fraud was unearthed the federal government officials who were responsible for the exposure were transferred and even threatened of dire consequences allegedly by those involved in the scam. The officials, however, refused to bow in the face of threats and received commendations from the government for revealing the alleged fraud.
The report compiled by the government officials claimed that allotment orders were issued during 2005-2008 ignoring all legal formalities. But the fact that shocked everyone including the present rulers was that the majority of people who were allotted these properties sold them and now no one knew their whereabouts as it is difficult to be traced.
After the initial denial of the alleged scam, the MQM, which had since then joined hands with the PPP in Sindh, has so far not made any comments on the prime minister's action hailed by everyone
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