Audit Exposes Irregularities Worth Billions in Commercial Property of Pakistan Railways

Pakistan Railways is plagued by irregularities worth billions of rupees in different parts of the country, a special audit report of the Property and Land Department of the state-owned entity seen by ProPakistani.

The audit was conducted to identify and address the mismanagement and misuse of Pakistan Railways’ extensive real estate inventory.

Covering the past four years, the audit revealed irregularities worth Rs 12.49 billion. The Lahore headquartered entity owns approximately 1.35 million kanals of land across the country.

Pakistan Railways has encroached on 2,617 acres of land valued at over Rs. 3.49 billion. This includes 1,937 kanals in Multan, 87.13 kanals in Rawalpindi, and 593 kanals in Quetta, the audit revealed.

In Karachi and Hyderabad, unauthorized petrol pumps were found operating on railway land valued at over Rs. 2.17 billion. Meanwhile, 63 acres of land worth Rs. 4.4 billion at Gilani Railway Station in Karachi have not been handed over despite orders from the Supreme Court, hindering the Karachi Circular Railway project.

Notably, this property was illegally acquired by the Railway Employees Cooperative Housing Society Limited and subsequently given to private parties.

The audit further revealed that 602 railway quarters in Sukkur remain occupied by illegal occupants.

Elsewhere, government departments in various cities owe Rs. 221.2 million to Pakistan Railways. Specific dues include over Rs. 71.8 million owed by WAPDA in Sukkur and Rohri and Rs. 0.96 million owed by the Food Department in Multan for land leases.

The audit report criticized the capabilities of the staff managing railway properties, noting that engineers rather than property management professionals occupy many positions.

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