Lahore Gymkhana concedes inadequate rent payment

LAHORE: The Lahore Gymkhana Club's chairman has acknowledged that the Rs5,000 annual rent for more than 100 acres of prime state land is inadequate, suggesting it should be raised to at least Rs10 million, prompting a Punjab Assembly committee to question how successive governments had allowed the arrangement to continue for decades without proper valuation or oversight. The special committee questioned the failure of governments to secure appropriate return from over 100 acres of prime state land leased to the club for the nominal annual rent of Rs5,000. The Punjab Assembly Special Committee No. 6, chaired by MPA Samiullah Khan, on Wednesday sought to establish how such a concession had continued for decades without proper valuation, government oversight or scrutiny of the lease terms. The committee was informed that the land's estimated value ranged from Rs76 billion to Rs218 billion. Committee members questioned the government's failure to ensure an appropriate public return from an asset of such magnitude, stressing that institutional autonomy could not exempt the club from accountability for its occupation and use of state land. Appearing before the committee alongside members of the club's management, Chairman Salman Siddique acknowledged the concerns raised by the lawmakers and expressed willingness to provide the relevant record and cooperate in the inquiry. He said he was himself surprised by the nominal annual rent, particularly in view of the extent of the land occupied by the club and its improved financial position. Comparing the club's present circumstances with the financial constraints it had faced during the 1990s, he said the annual rent should be at least Rs10 million. The members said the acknowledgment had reinforced the need to determine why successive government authorities had allowed the arrangement to continue without scrutiny. They stressed that the responsibility for protecting public assets rested with the relevant government institutions, which were required to enforce lease conditions and ensure accountability.