SHC awards Rs150 million in landmark DHA plot fraud case

In its judgment on a 21-year-old appeal, the court raised the damages awarded to the plaintiff from Rs5 million to Rs150 million. The court directed both the real estate company involved

KARACHI: The Sindh High Court (SHC)  has delivered a significant ruling in a decades-old property fraud case involving a commercial plot in the Defence Housing Authority (DHA), substantially increasing compensation for the affected buyer after nearly 30 years of litigation.

In its judgment on a 21-year-old appeal, the court raised the damages awarded to the plaintiff from Rs5 million to Rs150 million. The court directed both the real estate company involved and the current owner of the disputed property to jointly pay the compensation.

According to court records, the plaintiff paid Rs4.3 million in 1997 for the purchase of the commercial plot. Despite completing the payment, ownership of the property was later transferred to another individual, triggering a prolonged legal battle.

The court observed that documentary evidence confirmed the payment instrument issued by the plaintiff had been used as consideration for the original transaction. It further noted that the current holder of the plot failed to provide convincing documentation proving payment for the property.

In its detailed ruling, the court emphasized that the plaintiff had been deprived not only of his investment but also of the financial benefits associated with the property for nearly three decades. The judges remarked that commercial property values in DHA had increased dramatically over the years, making it unjust to compensate the plaintiff with only the original purchase amount or a nominal damages award.

To ensure fair restitution, the court ordered that the plaintiff receive Rs150 million in damages along with a 15 percent annual markup calculated from 1998 until payment is made.

The decision is being viewed as a landmark judgment in property dispute litigation, highlighting the judiciary’s commitment to providing meaningful compensation in cases where victims have suffered long-term financial losses due to fraud and wrongful transfers.