Property tycoon Malik Riaz Hussain and his Bahria Town real estate empire are facing a major legal challenge as the National Accountability Bureau (NAB) has moved to prosecute him, eight other individuals and Bahria Town (Pvt) Ltd over financial irregularities involving property sales in Bahria Town Karachi.
According to an accountability reference signed by NAB Chairman Lt Gen (retd) Nazir Ahmed and submitted to the accountability court in Karachi, the bureau has identified financial losses amounting to Rs1.75 billion involving 264 verified claimants.
The reference details Rs910.93 million in principal investments and Rs843.96 million in markup calculated by a financial expert using banking benchmarks.
NAB maintains that these figures represent only the documented claims examined so far, indicating that the overall financial exposure could extend beyond the verified cases.
Bahria Town Sold More Property Files Than Approved Capacity: NAB
One of the most significant findings presented in the reference concerns the number of property files sold by Bahria Town Karachi.
According to NAB, Bahria Town (Pvt) Ltd sold approximately 196,403 property files despite an approved layout capacity of only 89,704 units.
The bureau has also identified 7,599 outstanding refund requests submitted to the company.
The investigation covers property transactions involving Bahria Paradise, Bahria Sports City, Bahria Greens, Bahria Homes and Liberty Commercial, among other residential and commercial developments.
NAB’s reference describes cases involving properties that were not available for delivery, land without the necessary ownership documentation or regulatory approvals, and allotments cancelled without prior notice.
The bureau has also raised concerns over buyers who were neither provided their promised properties nor issued refunds or lawful alternative plots.
Malik Riaz, Family Members and Former SBCA Official Named
The accountability reference names Malik Riaz Hussain alongside his son Ahmed Ali Riaz, Zain Malik, Bina Riaz, Hina Malik, Naeem Hussain Malik, Waseem Riffat, Mubashira Ali Malik and former Sindh Building Control Authority (SBCA) director general Manzoor Qadir.
According to the document, Hina Malik has held 99.9 percent of Bahria Town (Pvt) Ltd’s shares since January 2, 2025.
The inclusion of senior company figures, family members and a former regulatory official places both the company’s property transactions and the relevant approval processes under judicial scrutiny.
NAB Traces Property Dealings Back to 2013
The investigation traces the disputed transactions to September 2013, when Bahria Town began collecting registration and processing fees.
According to the reference, the company collected payments before obtaining the necessary land ownership documents, approved master plan and no-objection certificate.
NAB has questioned the role of former SBCA director general Manzoor Qadir, particularly his approval of a paid market survey despite regulatory objections and missing documentation.
The reference states that Bahria Town subsequently advertised bookings as “Token Approved” by the SBCA and collected minimum booking payments of Rs150,000.
Multiple Bahria Town Precincts Under Scrutiny
NAB has identified precincts 38, 39, 40, 42, 42-A, 61, 62 and 63, along with Bahria Greens, in connection with regulatory approval issues.
The reference states that these developments lacked the required permissions for property sales and advertisements.
It also cites a revenue official’s report identifying land in Deh Mole, Jamshoro, as state-owned property.
The SBCA’s no-objection certificate for sales and advertisements was cancelled on September 8, 2025, according to the reference.
Rs460 Billion Supreme Court Settlement Also Under Spotlight
The accountability reference also discusses the Supreme Court’s 2019 consent order concerning 16,896 acres of land.
NAB has questioned development activity extending beyond the land covered by that arrangement.
The reference further states that Bahria Town had paid approximately Rs24 billion against its Rs460 billion commitment up to October 2022.
Investigators have also highlighted the creation of third-party rights involving more than 140,000 allottees, raising significant questions about the interests of property buyers and the legal status of their investments.
NAB Seeks Trial Under Accountability Law
NAB initiated its inquiry into Bahria Town Karachi in June 2024 and upgraded the proceedings to a formal investigation in June 2025.
Following the investigation, the bureau has sought prosecution of Malik Riaz, the other named individuals and Bahria Town (Pvt) Ltd under the National Accountability Ordinance, 1999.
The reference represents a significant escalation in the accountability proceedings surrounding one of Pakistan’s largest private real estate developments.
For thousands of investors, the proceedings raise questions about property ownership, promised allotments, outstanding refunds and the protection of money invested in residential and commercial projects.
The accountability court will determine the legal outcome after examining the evidence and hearing the parties concerned. The filing of the reference does not itself establish criminal guilt.
The case now places Malik Riaz’s Bahria Town Karachi operations under renewed judicial scrutiny, with the future course of proceedings carrying substantial implications for the company and affected property buyers.
