MINUTES OF THE 27THMEETXNG

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/, '--z ~~t(Main Ahmad Sidd~i)

Director (Administ;a~)~.PS to Secretary,

Ministry of Housing & ~orks,I:";l,;\Mf~ :l,A.D.

8.

Mr. Sarshar A.liMalik,O.S .D. (P&i:C),t"1inistryof Housing 8£':iorks,I .3L.:..M,\BAD.Dr. Mohammad Rasool Kban,Director General,Housing Foundation,Islamabad.Mr. Faiz Ahmad Zaidi,Joint Secretary,Planning & Development Division,Islamabad.Mr. Main Ahmad Siddiqi,Director (Ajrninistration),Housing Foundntion,Islrl.mc:.r.bad.

10. Mr. AbJul Haruid Arif,Director (Technical),Housing FounJation, Islam&ba~.

11. Mr. 3her Zaman Niazi,AssistRnt Director (A~mn),\

~~4/"~#?~~'CC: PS to IV:inistcr for Housing & \"orks

IslnmaboJ. 'iiousinc; F/und:, t ion

7.

6.

Mr. Jalees Ahroad Siddigi,Joint Secretary (Works),Ministry of Housing & Works,ISLAMABAD. .Mr. M. I. Rajput,Director General,Pnk PWD, Islamabad.Mr. Mukhtar Ahmad,Financial Adviser,Ministry of Housing & Works,ISLAHAL3A.D.

5. Mr. Mohammad Yunus Khan,Deputy Secretary,Ministry of Works,ISLAMABAC.

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F ;~DE;(AL GOV~rmr.1.~[<,l' ,~MPLOY:;;..:.3 HOU3ING FOUNDA.TIONSfii\.H~ED-...:-r-lILLA'~ Z..:c;L,{CT,\RIA'~

13LAMA:.l:\D

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on 24th and 27th D~ce~Der, 1990 is forwarded herewithfor information and necessary action.

.,SUBJ.c.;c'r:l'JlINUT23 OF Tn':: 27TH M~S'rn\G O~' 'rH:C: ut..CUTIVBCOM\"~ITrl'~:£ O~' THE BO!\itD Oii' GO\'~HNORS HEW ON21+'rH AND 27fH D~C\!:MB~R) 1990

\A copy of the minutes of the meeting of theExecutive Committee of the Board of Governors held

AWArlD OF CON'rRACT

were subjected

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letters and payment of cost of land to the CDA in April 1989(for the land in 1-8/2) ~nd in September, 1989 for the ~and

in the G-11 sector. He also explained the details regardingthe actions taken for prequalification of contra~tors in themonth of August 1939, the selec~ion of Consultants for theScheme in January 1990 and after the preparation of drawings,designs and tender documents the floating of tenders in March

applications and their scrutiny, the issuing of allotment

the meeting for the first time,of the d~~elopments sincelaunching of the Scheme in October, 1988, inviting of

Board of Governors also joined the meeting when the item3. The Minister for Housing and '•.jorks and the Chairman

The 27th meeting of the Executive Committee was

Iregarding award of contract was taken up for consideration.The Director General, Housing Foundation apprised the meeting,especially the allottees representatives who were attending

MINUTr.:SOF THE 27TH Ml::ETINGOF THE EXl!.:CUTlVECOMMITTc:E OF T& BOARD OF GOV.i!,;RNORSfull.DON

24TH AND 27TH D~C8MRGR

.l.<'.o:.:D~l\AL GOV~.i:\Nfu,NTZMPLOY~r.;..3HOUSING FOUNDATION.3HA&.i:D-E-IVJILLAT3~~C~~TA{nAT

ISLAMABAD\.

to detailed technical scru~iny and negotiations. However,a few other important items were also included in theagenda for consideration of the Meeting.

tenders opened on 11th November, 1990Housin~Scheme on Ownership basis in Islamabad for whichbidders for construction of houses under Phase-I of the

2. The meeting was mainly concerned to finalise theproposal regarding award of contract to the contractors/

meeting is at Annex 'AI.

and 27th December, 1990. A list of the participants of theheld in the Committee room of the Norks Division on the 24th

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The meeting was then

in September, 1990.

The Director General stated that out of the 39

The details of neEotiDtions following the receipt

He added that it was probably the general market trend coupledwith the Gulf situation due to which most of the biddersattached conditions/observations to their bids-to cover

negotiations with the first lowest bidder, but to no avail.were made, he snid, to bring the rates down by way of

cater for the possible escalation in prices was proposedto be made in the tender documents in the form of postbid addendum and the bidders were asked to negotiate onthe rates. Contractors/bidders such as M/s ABAD and M/s

themselves against any escalation in market rates and. that

were received on December 23, 1990 which varied from 13.5%above to 40% above the Schedule of Rate~Tender DocumentsVol.III (Revised). The lowest rates i.e. 13.5% above theSchedule of Rates were those of M/s Muhandanseen• Theyalso quoted 10% above the rates stipulated in the documents

I,for the item of construction of basement. Recommendation

Muhandaseen who were not successful during finalising

they were not willing to reduce the rates. A provision to

the negotiations held in September 1990, were also thenallowed to participate. The final bids, it was stated,

prequalified contractors, 25 purchased the Tender documents,but only 15 of them participated. The tender rates receivedvaried/from 15.27% above to 85% above the Schedule of Ratescontained in tender documents Vol. III (Revised). "Attempts

4.

the bidders to bring down the prices had broken

thereafter were also described.

in November 1990 as the negotiations held previously with

down

apprised of the efforts made ~ second time for prequali-

of tenders and series of meetings ~eld with the bidders

fication of contractors and the recalling of the tenders

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continued on the 27.12.1990, the Minister for Housing and6. Chairing the second session of the Meeting as it

handed over to Rana Riffat Saeed.

-the Prime Minister for Foundation Stone Laying of the Projectin G-11 sector. For this purpose some documents relatingto tenders including analysis and comparison of bids were

Works invited the representatives of the Allottees to givetheir views about the rates. Mr. F. A. Zaidi, President of

finalised in the next meeting. He also P9inted out that hethat time factor being very crucial, the matter should be

including a few engineers and professionals. The Ministerfo~ Housing and ~orks allowed three days for the purposeand desired thnt the matter be resolved :when they reassembleon the 27th Of December. It was emphasised by the Minister

the Allottees Welfare Association who attended the Meetingstated that they had made enquiries about the rates from

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has already sent a summary to the ?rime Minister Secretariatfor obtaining a date between 5th to 10th January, 1991, from

they should be given some~~me toexamine the details inconsultation with Mr. Mahsud and other colleagues,

was nominated by Allottees Welfare Association in placeof Mr. Mohammad Yusuf, Secretary, Religious Affairs asmember,(Letter at Ann~x 'C') ~tated that he was not ina position to say any thing regarding the rates and that

Mr. Abdur Rahim Mahsud, Secretary Water and Power, who

to discuss and negotiate the rates with them. Rana RiffatSaeed representing the Cat.! Allottees as nominee of

and the representatives of the Allottees were requestedwaiting in the adjoining room were called to the meeting

5. At this point the representatives of some ofthe contractors (based at Islamabad, Lahore etc.) then

were made by the Consultants of the Project, to accept, the rates and offer the same to all other bidders.

In sup~ort of his

APPROXIMAT~ AVERAGECOST P.i,RS-t .FT.Rs.314.76Rs.308.91Rs.354.92Rs.318.'37Rs.345.97Rs.387.85

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CAT~GORY

I

II

IIIIVV

VI

can only be indicative and cannot give any fir.m workableof

basis for a Project of magnitudeLconstruction of 2000

rate exceeding Rs.270/- per sq ft.

7. The Director General, Housing Foundation, theninformed the meeting about the average cost (category-wise)per sq. ft. that worked o~t on the basis of the rates recommendedby the Consultant i.e. 13.5% above the Schedule ratesas under:-

contention, he stated they had visited two houses one eachin the G-9 and G-10 sectors where according to them theirrespective owner had indicated unit cost, as about Rs.205/-and Rs.220/- per sq.ft. respectively.

8. At this point, the Director General, Pak. PWD,stated that the construction of one individual house .

quality houses within a fixed time span. He stated thattheabout a year agoLcost of a fewihouses completed at that

time was~diei on the site by the Committee headed by thelate Secretary, Housing and Works including some other membersof the Executive Committee and it was found that in none ofthe cases the out of pocket.expenses of the owners worked

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':2~Islamabad and had gathered thab the unit rates should~,~,r;~i~be between Rs.220 to Rs.250 per sq ft. Rana Riffat Saeed~~ added that Mr. Abdur Rahim Mahsud, 3ecretary, Water andf~ Water, an eminent engineer and who had been the Secretary~~ of Works Division had authorised him not to accept any

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about the rates, the Minister for Housing and Works observed

indicated that it was not possible for them to accept any rate~ow

Seeing that thel'ewas no consensus of the members

Minister accordingly. There upon Mr. Zaidi said that theywould not like to delay the matter and suggested to award

the ngC3tiated rate of ,13.5% above the Schedule.

that it would not be possible to hold the foundation stone

laying ceremopy_~ccording_to the programme and ~?at he wouldrather like to defer the programme and inform the Prime

less than Rs.350/- per sq. ft. The contractors, referringto the estimates given by the allot tees representative clearly

9.

out to less than Rs.305/- per sq.ft. This rate of Rs.305/-per sq. ft. at that time was worked out by a qualified

.retired senior engineer, who completed his house with goodfinish ensuring all possible economy in expenditure. TheDirector General, Pak PWD then outlined the rates in respectof some private and official buildings constructed about fewmonths ago and stated that none of these were built at a rate

of contract for Cat.I, II and IV n~es at the rates indicatedabove but that the Contractors be persuaded to bring down therates for the other three categories particularly of categoriesV and VI. Rana Riffat Saeed, However, obperved that he wo~ld notag~ee to the offer as he was given the direction by Mr. Mahsud whom10. The Director General, Housing Found~tion then

.~?O/-eXPlained the reasons of relatively higher. unit cost forsmaller houses than the larger ones particularly because

more per unit area .or thei inputs in walls, foundation, doors, windows and thein the smaller hcu.se

services e.g. over head tank ard underground tank etc~. Atthis stage Mr. Zaidi stated that it wo~ld be perhaps more

appropriate to construct only the structure for the lowercategories so as to have the minimuIn possible rates and letthe prospective buyers add the finishing items at theirconvenience. The Director General, Housing Foundation mentioned

Prior to inviting the present bids for the re~son

stated that the rates at which the services of Development

by Mr. Saeed. He also ela~orated the scope of the services beingrenderLd by the Consultants which were multif~rioust the

Consultancy charges of the Consultant of the Project. He

to the Foundation and not to the Contractors and that these

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would ultimately go to the ~wners of the house. In response

to the member's continued request for further reduction in the

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rates Mr. Nooruddin of Mis A~AD remarked that the membersof the Association were emotional rather than realistic.

12. Rana Riffat Saeed then raised the question of

Consultants had been hired '.•ol'ked out to Rs.14 to 15 perSq. ft. He su~gested that these should not be more thanRs.2 per sq. ft. The Director General Housing intimatedthat Mr. Riffat Saeed calculations were not correct as the

worksactual wouldLout to less than half the figure mentioned

of purchase of cement and steel, which are to be arrangedby the Housing Foundation itself, it was clarified by theDirecto~ General, Housing Foundation that these would accrue

i

anerlier proposal for provision of "Basic House" which was

abadoned

11. On a point regarding savings, if any, on account

Lhat a cowplcte and 118bitabl8 house was ~nvisaged in thepresent also that

Scheme. The contractorstobjected saying L it would change

the scope and volume of work which was not acceptable to them.

The Minister for Housing & Works also did not agree to ~he

proposal.tf

details of which are given in Annex 'B'.

1 ~ Since DO consensus about the rates could bereached in the Meetin~t the Allotte~s Association'srepresentatives sug~ested a meeting with the officers

\of the foundation the nuxt day in 0rd~r to sort outthe problem and come back with workable pro)osals within

next couple of days.

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PU i""CHAS~OF COM.?U.rSR

14. It was explained in the meeting that the activitiesof the Housin~ FounJution hud now increased to a stagewhere handling of its huge data ensuring speed, correctnessand efficiency had become almost un-manageable. In order to

enable the Foundation to function more efficiently and

effectively it was essential to improve upon its working

by way of introducing automat~on, where pos3ible, at an

economic cost. Accordingly, it was proposed to purchase

a computer to facilitate the wor~ing of the Foundation.The meeting was informed that the proposal had already

Ibeen approved by the Chairman of the Executive Committee,

who desired it to be pl~ced before the Committee because'.it involved a small recurring expenditure on account orinclusion of one post of J3PS-16 and one of BPS-11 post.~ana Riffat Saeed, ho~ever, opposed the proJosal and statedthat surplus facility was available ir,the Statistic Division

and that he would make nec~ssary arran~ements for making it

available to the 2oundation to meet its full requirements onfree of charge basis. He also offered to arranGe a PCwith the Foundation Office linked witb Statistics Divisionmain frame, without any payment.

PURCHASE OF TWO JEEPS

15. It was decided to purchase only one jeep (Potohar)for the present at the standard price from Messrs SuzukiMotor Company Ltd.

PAYMENT OF SURCHARG~

16. Tbe meeting \VElS in.formed that according to a decision

taken in the 26th meeting of the Executive Committee held

on 5th and 7th November, 1990, a surcharge at the rate of

1% per month was to be paid by the allottees for payment

of cost of land and cost of construction Rfter the due dates

and Works and~ned an assurance to their demand that no

timely payments. The consid2ration of th~ item was deferredcare to make

Subsequent

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on the amount due for the period of default.

affects the cash flow, the matter needed consideration by the

this would result in utter indispline in payment and adverselyextensions in the period for payment of instalments. Sincesurcharge would be recovered from the allottees, while granting

to this decision the represent~tives of the Allottees WelfareAssociation led by its President saw the Minister for Housing

Committee. In fact, as a result no one would

REP~3ENTATIVE OF THE ALLOTTEBiON THE EXECUTIVE COMMITTEE,

for the next meeting.i

17. Allottees Welfare Association in its general bod~meeting on 18.1?1990 W8S asked to elect one representative

----,

from each category of allottees. However, they passed aresolution that the following members elected by it earlier

~~ may be included in the Ex~cutive Committee to represent

each category of the allottees (copy of letter Annex 'C').(i) Mr. Mohammad Yousaf,

Secretary,Ministry of Religious Affairs.

(ii) Mr. Aijaz Akhtar,Chief, Planninc andDevelopment Division,

(iii) Mr. Mohammad Afzal,Assistant Incharge,~conornic Affairs Division.

(iv) Mr. Abdul Ghafoor,Section Officer,Ministry of Informationand Broaucasting.

(v) Mr. Mohammad Iqbal Hana,Assistant, Finance Division.

Category-I

Category-II

Category-III

Category-IV

Category-V

(vi) Mr. Ghulam Ali,Assistant,Finance Division.

Category-VI

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Subsequently the Association wrote to the Secretary,Ministry of Housing and Works, to say that Mr. MohammadYousuf would no longer be able to attend the meetingsof the Executive Committee due to his preoccupationduring the ensuing Haj season. Consequently, theAssociation reque3ted th~t Mr. Abdur Rahim Mahsud,Secretary, Ministry of Water\and Power, may be includedin the Executive Committee in place of Mr. Yousuf (letterat Annex 'D'). It was pointed out that the AllotteesAssociation should regularise the dections of therepresentatives of Cat.I to the Executive Committed.

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18. The Meeting ended with a vote of thanks tothe Chair.

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1,1.:-;1' vi" 1>\.:TlC~l:'\'j'I.> Ui Tilt. ~7TII',i:;Te!li l)l" ~IIL l':'(i,o;CU'llVi-: CUW!II1'I,.loII.IA) Dr: :~/IT!I \NIJ 271'11 Ih:C:;;'lIlJ::H, 19"10.

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-i':cr.~t",y (ri,~.\'.).

,".1" •. J'll •• , .• ~ \'''',,,1 "'lJ,ddi'li,J" I ,II ..i,... I'" l I I' Y t .;'IJI"II ,< ) •

1'lr. r:. J... 1\iI ,; '111 t,J).1.,-nc tor Gp.ncr:ll IjJ;\ It Pil/).

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J) c ; 111 l. Y .je c r (~t, I r y ( Ivo r It~ ) •

~lr. c;.u'shar ,\1.i 'l"t.1.k.,a.s.u. (P&C;C).

\Dr 1'1ohnrll!lact Hi1~"o 1 Ki.,,",Ui.rn~Lor (iencr,l lHr).

,,;Inn iI_C" •.. S-,"cd,.)uint. ':;'~cre1'.-It'Y,.~t;\ tis ~i cs LJ i v.i ..; ion • .•'11'. ~1,,1,;\llIm:l(:I \ ('7.:' I (C~l:lll,

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t.;conomic ,\fr.-drs Division.

"i1-. '\"dll 1. uh;\foor,Sect.ioll lIffic(n-,JlliniRtry of Inforllla1'.ioll,'11<1 I1rondcn.c; I ill,'!;.

tlr. Hull.'"]!'l;I'" I'lbi.ll Hillli.l IAs~istallt,Fl.I1OlllCe Division.

,~Ir. 1..'" I 1. :1II1 Ali I

i\s~istant,Finance Oivision.

l-lr. !".,.iz Ahmad i:aidi,Joint Sccreti1ry,PS:U U1vlsion.

!.lr. 1'loLl .\hmad Siddiqi,Uirc c tor (,\dum).

fol,-. Ahdll1. lIamid Arif,Vil'ectur (Tech).

Mr. Shcr ZAman ~inzi,,'\ssi.stant Dircctor(,\uuln).

~lr. llhulam 1I1l'3.';>.1in II. Memon,~11 il~f 1':Tl.r:ill'~(!r (Not'th),l';,1< Ph'j).

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,.,r'''1 -•.~'T "Tl r r.1 •., .••"' __ .'"'" \,'';J.-

..in \lcLrd.ls n::; re'l'lir'Sd

rI"~'pnr" tion of :~itc ,1''2vclopment plR.n.

Prepnration of dr~win~~ for electrifications,

11i!\ol' [;lu<1 i fic" Li.on\

frUITl time to time.

s.tructurol ur~winCs ~lo~Gwith design

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floors, ~oof trcntmcnt.

pipe net \-Iork•.inGtall'ltians including the cl::tgi~s of

I'l~l!1tl i.n~ 0 r '.:., t;C'r ;;;upply, ::;.,ni tnry

prepa.1'.-d rOl' th~ six dir ferent categories of

houses.

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:.9 J\!1j' Ot;L:l' sc ['V ices rC'luired in connec tion

1.4 PrepaL'inc; :Jl1d 3uhmlssio,n of detailed

1.::> l'rcp~lriIlG u(:Vl.i.lcd ;',rclli tcciJ.t~l ';:CJrkin~

J.l'<.n:in~::; ,i.ncluJ.inC ill:~!ls , elevations and

11.") P:'cp:.J.l'inc; du Lolls of fi:-;iLih(;t;, doors, 'tlindows,

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=.1 Pr:;pa;','l tiOIl of technicnl specifications for

architectural, structural and all services

works.

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OIl (JL'0v,:Jiline; markeL l"I\;CS.

wor~s in acco~lnnce with the specifications

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thereon.

8nd contract agreements.

01' field st[Jff.r'bkinc;field me:lsurcmcnts, checking,vcrifyinB'and recommending all bills forPDJ'lII\;fl ts for elldu,L'in~thf= quality of

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~).1 PrepoL,~,tionof tcwlcr documents.

2.2 FrHminc of dctniled R.O.Q. and estimate

l'END~[( DOCm1i~NTS:

3.2 Scrutiny of tender and recommendations,

4.1 Full time supervision through a number

I:.? C.:L'L',yiJJC ULl t '~';t''.; L:.n~. 1'01' tllt:" UP~;L'ov"l 01' the

:;[1'::[.) i.1':'",:-'>/':'Il~""::;, ,:';'}/i!iJ1L:~~ of: i'itl;inGs fixtures 'and

':.j 1';",';)' l'':1li')I: 1.)1' u,,,'v'i",tioll iti.;lIIs stete:mc.:nts if any.

'J." fl[ :;:",,,;:,,' ;':L~ .'.:u'•. :i.!.tLi.r.:.:; t:li.:. fino1 c'xniJletion

L~. sUp~r~VISIOfl

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RES 0 L UTI 0 N

a) Mr.Mohammad Yousaf,Secretary,Ministry of Religious Affairs/Category-IRana Riffat Saeed, Joint Secretary,Statistics Division in the absence ofMr.Moharnmad Yousaf.

b) Mr.Aijaz Akhtar, Chief, Category-IIPlanning & Development Division.

c) Mr. Mohammad JI.fzal,Asstt Incharge, Category-IIIEconomic Affairs Division.

d) Mr .•'.I.ba u1 Ghafoor,SEction Officer, Category-IVM/o Information & Broadcasting.

e) Mr.Moharomad Iqbal Rana,Asstt, Category-VFinance Division.

f) Mr.Ghulam Ali, .2I.sstt Category-VI '; ~Finance Division. ,,

t •. • ~ > -;"':t~ANNEx' .b-.--:GOVERNMENT' EMPLOYEES HOUSING FOUNDATION

i) that the following six persons, who were electedcategory-wise in the General Body meeting. of theAssociation held on 14-11-1990, will continue to be~he Representatiyes of the Allottees in the ExecutiveCommittee of the Fed€ral Government Employees RousingFoundation:-

ALLOJTEES W'ElfARE ASSOCIA1!ON

;~ In pursuance of the guidance of the honourable Minister.hlor Housing &. Works, a special meeting of the General Body of the

}.~Jilottees Welfare Association was convened on 18-12-1990 at 3.30;ptm. by its President Syed Faiz Ahmad Zaidi. Mr.Jalees Ahmad~::;,

*~}ddiqi, Joint Secretary(Works), Dr. M.Rdsool K~an, Director,teneral,Federal Government Employees Housi.ng Foundation and Mr.'~Oin Ahmad Siddiqi, Director (Admn) ,Federal Government Employ~es

T:~~using Foundation were also present\. It was resolved by 'sh.o.w"o~.{ .

: :;handsby all the allottees, except. few persons nwnbering in tens:-

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ii) that the representation of the allottees by the abovemeniliers1n the Execu~ive Committee-~hall be for aperiod of six months. Meanwhile proper electionsthrough ballotting shal~ be held. '

iii) It was resolv~d to co~~unicate the ~bove six nominationsto the Foundation for the formation of the ExecutiveCommittee. 12

,. ~ .Syed Fa Ah.~ad Zaidi

PRESIDENT19-22-1990

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ATRIeW"' ..

..'D'Annex

IlY°u/0a;:.,h~:'~/'..sA-~~

( Syed Faiz Ahmad Zaidi )President

GOVERNMENT EMPLOYEES HOUSING FOUNDATION

Housin Scheme for Federal Government Em 10 eeson Onwership Basis in ISlamabad.

Sir,

With profound regards.

with compl ments to:-

1. PS to Minister for Housing\& Works.2. PS to Secretary, M~n~try of Water and.Power

with the request t~rn~ke it convenient to attendthe Executive Committee meeting on 27-12-1990 at1300 hours in the Committee Room of Works Divisionin B-Block, Islamabad.

'tt:.'r AllOTTEES WELFARE A~SOCIATjON'$,J".:i~W.A./12. Islamabad, 26-12-1990.t' ~.~,;

•Secretary,'stry of Housing and Works,irman, Executive Committeeral Government Employees

., ing Foundation),.'ltramabad.,'P!l' ..•

In continuation of our letter NO.AWA/l1 dated 19-12-90my discussion with you this morning I have the honour t? informt our representative for Category I Allottees, Mr. Muhammad Yusuf.pretary,Ministry of Religious Affairs will no longer be able to,,"i>" ~ • ~

..l~~.iendthe meetings of the Executive Committee due to exigencies of

i~:~~services during the-ensuing Haj s~ason. As such, Mr: Abdur•.:;.h.,:.;imMahsud, Secretary, Ministry Of.w'ater and Power who has kindly:~eed to work and represent Category I A110ttees as a Member of the

"lieuti ve Conunit tee from thi s Associa tion, wi11 replace Mr.M.Yusuf.

!If The Association,requests that the name of Mr. Abdur,LMahsud, Secretary, Ministry of Water and Power may kindly be' ~ ..•

~luded and the composition of the Executive Committee-notified totl the concerned •.'~f'

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, '81.

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