Punjab Chief Minister Maryam Nawaz Sharif halted the Model Village project after facing claims of fraud and corruption, instructing the Anti-Corruption Establishment Punjab to look into the situation.
This initiative planned to carry out development work across 800 villages throughout Punjab with a projected budget of Rs40 billion.
Officials chose 400 villages for the initial phase, disbursing over Rs4 billion for development tasks.
Construction started in villages located in the Sargodha division, where authorities sought tenders for multiple schemes.
Reports surfaced that powerful officials worked alongside political figures to register bogus companies through partnerships, helping them win contracts through manipulation instead of fair competition.
Contractors allegedly received Rs3.5 billion for development tasks in this division. A report revealed that over 65 percent of the scheduled work in the Sargodha division remained undone on the ground even though funds were disbursed.
Maryam Nawaz ordered a probe into the creation of fraudulent firms and scheme corruption based on these discoveries.
Zeeshan Rafiq, the Local Government Minister, stated that the chief minister instructed the Punjab Anti-Corruption Establishment to probe corruption in the Model Village Project, noting that officials stopped the scheme and will replace it with a fresh program.