Countrywide, Wakf Board properties worth over Rs 1.2 lakh crore are lying waste or unregistered because of poor surveillance and lack of registration.
According to rough estimates, there are over 2,00,000 Wakf properties spread over 6,00,000 acres across the States in the country. But, of these, only 150-160 properties are registered and the current income from these lands is just about Rs 160 crore, at a 2.7 per cent return rate. Wakf properties are donated buildings or plots of land for Muslim religious or charitable purposes, which are held by a trust.
“Considering the current market value of these properties, which comes to about Rs1.2 lakh crore, they can, if efficiently used, generate at least 10 per cent annual return, which means an annual estimated revenue of at least Rs10-12,000 crore,” said Kamal Farooqui, member of the All-India Muslim Personal law Board Working Committee and former chairman Delhi Minority Commission.
“This lack of registration of Wakf properties is leading to its misuse. People have encroached on these public properties and there are also reports of State Wakf Board members illegally leasing the properties at very low rents and pocketing the money,” he said.
Having turned a blind eye for long, the Government seems to have finally made a concerted move to regularise these properties and make them profit-making entities. It has decided to set up a new entity — the Wakf Development Corporation (WDC).
The Cabinet has given an in-principle agreement for the creation of the WDC to take care of the Wakf lands spread across the country. Earlier, the joint parliamentary committee on Wakf had also strongly recommended the formation of a corporation to develop these public properties.
Union Minister for Minority Affairs K Rahman Khan told The Pioneer that the Government plans to develop the WDC as a commercial corporation, where 51 per cent capital is raised by the Government and public sector undertakings (PSUs) and the rest is raised by way of investment shares.
“Our recommendation is that the corporation should start with a corpus of at least Rs500-crore. The corporation has to be made commercially viable body, which can continually raise money to help develop the Wakf properties into profitable ventures,” said Khan. The Minister said that unless these properties are developed, no one will be able to protect them.
“Since most of these properties are unregistered, miscreants take over these lands for furthering personal profits, leading to a substantial loss in income, which could otherwise have been used for the welfare schemes of the community. Once developed, these properties will also increase employment opportunities,” he maintained.
Kamal Farooqui is confident this WDC will definitely help stub corruption and bring more order and accountability. He is also of the view that the development of WDC would bring in foreign investment.
“In Saudi Arabia, they have the Islamic Development Bank and in Jeddah there is Islamic Solidarity Fund, who together helped develop the Sri lanka Islamic Centre, which was for the benefit of the community on the whole.”
Former CIC and Chairman of National Commission for Minorities Wajahat Habibullah pointed out that despite India being rich in Wakf properties, most have not been used very wisely.
“Right now, income from Wakf lands is only benefiting individuals, who are already well-heeled,” he said.“The WDC will develop a system which will help generate income that will benefit the community and not individuals. Turkey is one country which has been able to use their properties in an organised way to generate income, which they reinvest in community facilities. There is a lot of scope of improvement in our country,” he said.
“The idea of creating a corporation is very pertinent as it would help develop Wakf properties in a way where they will be useful for the community. Resources are required for any kind of development, and through this corporation, where there will be a fixed corpus, limitation of funds will not be a problem,” said Niaz Ahmed Farooqui, secretary, Jamiat-Ulama-i-Hind.