CCP cracks down on real estate developers for false marketing

October 07, 2025 (MLN): The Competition Commission of Pakistan (CCP) has introduced an inquiry into deceptive marketing practices in the real estate sector.

The move follows data and intelligence from CCP’s Market Intelligence Unit (MIU) and the Office of Fair Trade (OFT), revealing widespread misrepresentation by housing societies and developers.

The inquiry will focus on projects falsely claiming to be within the Islamabad Capital Territory (ICT) or registered with the Capital Development Authority (CDA), while actually located outside its jurisdiction.

CCP has urged consumers, investors, and overseas Pakistanis to submit evidence, documents, or promotional materials supporting the investigation via its Online Complaint Portal at www.cc.gov.pk.

Preliminary analysis shows several deceptive practices, including misrepresenting project locations, false claims of regulatory approvals, use of fake images or exaggerated portrayals, false assurances of utilities and amenities, misleading endorsements, and promises of unrealistic returns on investment.

The CCP warned that such violations breach Section 10 of the Competition Act, 2010. Offending developers may face penalties up to Rs75m or 10% of annual turnover, along with additional legal actions to protect public interest.

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