By Our Correspondent
KARACHI: The country’s real estate developers on Wednesday raised alarm over a sharp surge in extortion and harassment cases, warning that business activity in Karachi could be shut down after January 15, 2026, if authorities fail to restore law and order.
The warning was issued by the Association of Builders and Developers (Abad), two months after similar concerns were voiced by the Korangi Association of Trade and Industry and All City Traders Ittehad Association, highlighting growing insecurity for traders and industrialists in the city.
Addressing a press conference, Abad office-bearers accused organised criminal gangs, operating locally and from abroad, of targeting builders, developers and businessmen through extortion calls, threats and shooting incidents.
Abad Chairman Muhammad Hassan Bakshi said extortion calls had increased sharply over the past five months, with at least 10 members formally reporting threats to law enforcement agencies.
“We are receiving calls from Iranian and Dubai-based numbers demanding extortion of up to Rs50 million. Those who refuse face firing incidents. This is happening on the ground,” he said.
Bakshi alleged that known criminals, including Ahmed Ali Magsi, Jameel Chhanga and Wasiullah Lakho, were openly involved in extortion, land grabbing and intimidation, despite multiple cases registered against them.
“Extortionists even send threatening notes carrying their names, phone numbers and bank details, yet no effective action is taken. Sixty cases are registered against Wasiullah Lakho, but he remains free,” he said, adding that written complaints had been submitted to President Asif Ali Zardari, PPP Chairman Bilawal Bhutto-Zardari and the Sindh chief minister.
He stressed that maintaining law and order was a constitutional responsibility of the state. “If by January 15 the situation does not improve, Abad will be forced to shut down business activities in Karachi,” he warned.
Abad patron-in-chief Mohsin Sheikhani said the real estate sector had reached a breaking point, claiming police appeared helpless against criminal networks. He appealed to the federal government to intervene and urged issuance of red warrants against extortionists operating from abroad.
“Unless decisive action is taken, our investments, properties and lives remain at risk. The economy will collapse if this continues,” he said.
Senior Abad member Syed Afzal Hameed termed the situation a conspiracy to sabotage the economy and warned of serious consequences if the real estate sector collapses.
“Karachi’s contribution to national revenue has already declined from 62 per cent to 50 per cent. Any further damage to real estate will hurt remittances, tax collection and employment,” he added.
