Punjab Chief Minister Maryam Nawaz Sharif has ordered the suspension of the Model Village project following allegations of corruption and fraud, and directed the Anti-Corruption Establishment Punjab to investigate the matter.
The project envisaged development work in 800 villages across Punjab at an estimated cost of Rs40 billion.
In the first phase, 400 villages were selected, with more than Rs4 billion reportedly released for development work.
Work was initiated in villages across the Sargodha division, where tenders were invited for various schemes.
However, allegations have emerged that influential officials, allegedly acting in collusion with political figures, facilitated the registration of fake companies through partnerships and helped them secure contracts through manipulation rather than merit.
Contractors were reportedly paid Rs3.5 billion for development work in the division. According to the report, more than 65 percent of the work planned under the project in the Sargodha division had not been carried out at the sites, despite payments having been made.
Following these findings, Maryam Nawaz ordered an investigation into the alleged creation of fake companies and corruption in the project.
Local Government Minister Zeeshan Rafiq said the chief minister had directed the Punjab Anti-Corruption Establishment to investigate corruption in the Model Village Project, adding that the project had been discontinued and would be replaced with a new initiative.
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