The Association of Builders and Developers (ABAD) has issued a stern warning to the government, giving a one-month deadline to control rising incidents of extortion and kidnapping for ransom in Karachi, or face a complete shutdown of construction activities across the city from January 15, 2026.
The announcement came during a press conference attended by ABAD Chairman Hasan Bakhshi, Patron-in-Chief Mohsin Sheikhani, Senior Vice Chairman Afzal Hameed, representatives from the Karachi Chamber of Commerce, including Hafeez Aziz, and other industry stakeholders.
ABAD officials highlighted that criminals involved in extortion and ransom kidnappings were operating with impunity, with police failing to take effective action. Mohsin Sheikhani emphasized that the city’s law-enforcement agencies had not issued red warrants against identified perpetrators, leaving businesses vulnerable. He stated that without decisive action, the situation would not improve and Karachi’s economy could suffer severe consequences.
Chairman Hasan Bakhshi detailed alarming incidents, revealing that at least 10 ABAD members had received extortion demands from Dubai and Iran, each for Rs. 50 million. When payments were not made, employees were reportedly shot and injured. He named alleged extortionists, including Ahmed Ali Magsi, Jameel Chhanga, Samad Katiyhawari, and Aziz Lakho, claiming that 15 to 20 ABAD members were forced to pay these individuals on a monthly basis. Bakhshi noted that extortionists openly provided bank account numbers for traceable transfers, yet no effective action was taken by authorities.
ABAD leaders warned that the growing insecurity had forced businesses to relocate from Karachi, reducing the city’s contribution to national tax revenue from 65% to 54%. Complaints and applications regarding extortion had already been submitted to political leadership, including Bilawal Bhutto and the Sindh Chief Minister, yet no meaningful response had been received.
Senior Vice Chairman Afzal Hameed called the situation a conspiracy to sabotage the national economy, stressing that if Karachi’s real estate sector collapsed, remittances and national revenue would also decline. Hafeez Aziz of the Karachi Chamber of Commerce added that traders in areas like Jodia Bazaar were being forced to pay extortion ranging from Rs. 50,000 to several lakhs monthly, leaving their lives and livelihoods at risk. He stressed that security is a fundamental right for citizens and businesses, not a favor granted by authorities.
ABAD concluded that if the government does not take urgent action within the next month, the organization will move toward protest sit-ins and other measures to draw attention to the escalating law-and-order crisis affecting Karachi’s construction and trading sectors.
