Property fraud in Pakistan: common scams, what the law says and how to check before you pay

The property frauds we could document from news and official sources fall into three groups: selling plots in schemes with no approval, selling more plots or memberships than the land supports, and bogus registrations or mutations. The best defence is to check the scheme’s approval and the seller’s record yourself before paying. This page lists what was reported and dated, not every scam in circulation. Reports below describe complaints and investigations, not findings of guilt.

What fraud has been reported?

In the Gujranwala case, stamp papers declared at over Rs 3,000 were verified online as worth only Rs 500, and names on paper documents differed from the online record. It is under investigation with no charges reported. About 1,800 buyers and sellers could be affected.

In the Rawalpindi report, one scheme was said to have sought approval for 4,000 kanals in 2022 but advertised 75,000 to 100,000 kanals. The report did not name it. Dawn’s report on NAB’s August 2026 briefing names several societies whose complaints it was handling, which are complaints, not findings.

What does the law say?

Punjab. The Punjab Protection of Ownership of Immovable Property Ordinance/Act 2025, reported on 31 October 2025, made occupying property through fraud, coercion or without lawful authority a crime with five to ten years’ imprisonment, and set up district Dispute Resolution Committees chaired by the Deputy Commissioner and Property Tribunals. Our only source for those details is Zameen, as we found no official text.

It is suspended. On 22 December 2025 the Lahore High Court Chief Justice suspended the ordinance and decisions taken under it to hand over possession (Dawn). On 26 December the court overturned deputy-commissioner-led committee orders in several cases and held that deputy commissioners and commissioners “have no authority to unilaterally take away or restore possession” (APP). A three-member full bench was to start hearing petitions on 23 February 2026 (Dawn). We found no later verdict, so treat the law as suspended unless a newer ruling appears. Media call it both an “ordinance” and an “act”.

Overseas Pakistanis, Islamabad. The Senate passed the Establishment of Special Court (Overseas Pakistanis Property) Act, 2024 on 17 October 2024 (PID). Its jurisdiction covers Islamabad only. Petitions can be e-filed and evidence given by video link supervised by officials of a Pakistani mission abroad, with a 90-day target. One outlet reported a phased rollout to other provinces, which we could not confirm.

How do I protect myself before I pay?

1. Check the scheme’s approval with the authority. CDA’s notice says no private housing scheme can be planned, launched or developed in Islamabad without CDA approval, and offices of unapproved schemes’ sponsors and marketing agents can be sealed. See society approval check.
2. Check the seller’s record with a fresh fard and the registry. See how to verify property ownership.
3. Don’t treat a file, membership or allotment letter as ownership. Sale of property over Rs 100 needs a registered deed (Registration Act 1908, s.17 and s.49). See sale deed in Pakistan.
4. Pay in a way that leaves a record, and keep every receipt.
5. Follow the full order of steps in how to buy a plot.

If you think you were cheated

Get a lawyer’s advice on the right forum for your province before you act. Depending on the case that can be a civil court, the police or FIA, or NAB for society schemes that took public money. For Islamabad property owned by an overseas Pakistani, the special court above applies. We could not verify any recovery scheme.

More guides

Illegal housing societies in Islamabad and Rawalpindi · Illegal housing societies in Karachi · Buying property as an overseas Pakistani