Lawmakers in a Punjab Assembly committee raised questions on Wednesday about Lahore Gymkhana Club maintaining a yearly rent of only Rs. 5,000 for more than 100 acres of valuable government property in Lahore.
An inquiry is examining why this lease agreement persisted even though the property holds an estimated market value between Rs. 76 billion and Rs. 218 billion.
Samiullah Khan led the special committee session on Wednesday, where club Chairman Salman Siddique admitted the payment amount was too low. Siddique stated the organization ought to pay a minimum of Rs. 10 million every year and agreed to share documents and assist with the investigation.
Punjab Assembly Panel Questions Lease Approval
Board of Revenue Member Colonies representatives informed the panel that Sardar Arif Nakai, a former chief minister, gave verbal orders to fix the yearly rent at Rs. 5,000 during a lease renewal. The official admitted that standard property valuation and legal rules were ignored.
Legislators asked how spoken directions could justify such a massive discount, demanding the full documentation and approval history of the 1996 lease contract.
The panel emphasized that citizens of Punjab own the property, meaning internal management rules do not free the state from supervising public assets. Representatives additionally demanded proof of approved construction blueprints, official authorizations, and adherence to rental terms, highlighting safety concerns where official permits remained missing.
Committee Seeks Records and Wider Public Benefit
Participants talked about ways to expand public access to the space, such as making the cricket pitch accessible to citizens or moving the facility close to the Ring Road. They also challenged the spending of state money on a private leisure club situated on public property.
Officials instructed concerned departments to provide thorough reports and assigned a fact finding team led by the Advocate General Punjab to prepare questions, collect and check documents, and report back in ten days.
The chairperson concluded the session by ordering that legal matters from the probe go to the Law Reforms Committee under the Punjab Assembly speaker for shared discussion.
