The Islamabad High Court (IHC) has ruled that the Capital Development Authority’s (CDA) imposition of right-of-way and direct access charges is unlawful and has ordered the complete abolition of the CDA.
According to the Islamabad Local Government Act of 2015, the court ordered the federal government to give the Metropolitan Corporation Islamabad (MCI) all of the authority’s assets, functions, and powers.
In the comprehensive ruling, Justice Mohsin Akhtar Kayani declared that the 2015 notification from the CDA, which levied taxes on gas stations, CNG stations, and housing societies for access from major highways, was unconstitutional and outside of the CDA’s legal jurisdiction.
The ruling declared that “all actions taken under the 2015 SRO are null and void.” “Without the consent of the local government, the CDA is unable to impose taxes like right-of-way or direct access.”
Additionally, the court mandated that all funds collected under the now-void notification be returned immediately.
The ruling states that the Islamabad Local Government Act of 2015 now governs the city’s administrative, regulatory, and local government framework. As a result, the court claimed that the CDA’s original intent had been achieved and that its legal applicability in the current governance structure had ended.
