In Punjab, to regularize the construction and sale of plots, The Punjab Apartment & Property Regulation Act 1995 was implemented in 1995 but due to ill will of Govt. and bureaucrats, this act was not fully implemented. So, in spite of this act, due to Govt.’s mismanagement, illegal colonies were continue. Now, a committee of revenue minister Vikramjeet Singh Majithia, Cabinet Minsiter Sharanjeet Singh Dhilon, Cabinet Minster Anil Joshi & Parliamentary Secretary Som Parkash finalized a policy to regularize the illegal colonies. This policy is very much interesting and exclamatory. It is stated in this policy that there are 10,000 illegal colonies in Punjab covering 40,000 acres of land. The motive of policy is stated to provide basic amenities to residents but practically this policy is seems to be mere a source to fill the empty treasury. Because according to this policy, the colonizers who developed illegal colonies will deposit composition fees @ 0.5% of collector rate (minimum of Rs.25000 per acre upto maximum of Rs.100000 per acre) for illegal colonies which are before 17-08-2007 and for colonies which are developed after 17-08-2007, this fees is 2.0% of the collector rate (from minimum Rs.100000 to Rs.500000 ). Moreover, Govt. is imposing fine on innocent people who are taken into trap by illegal colonizers in connivance with Govt. machinery, who are aggrieved due to negligence of Govt. machinery. These innocent people should be compensated by the Govt. for their loss due to Govt. negligence but to the contrary, Govt. is imposing fine on these innocent people. This fees which is to be deposited by plot owners in illegal colonies is varied from Rs.3,750 to Rs.2,50,000/- depending on collector rate and size of plot. In this policy, Govt. admitted that plot owners in these illegal colonies are aggrieved of trap. But why Govt. instead of compensating these innocent aggrieved people, putting fine on them. It is more interesting that this is no where mentioned in this policy that where the money which is being collected from colonizers and plot holders will be spent, means it is not sure that the money will be spent in that very colony or not. It means it is very much possible that this money will be used to fill the empty treasury. It is mentioned in the policy that Municipal Council will be responsible to provide basic amenities in illegal colonies within municipal limits after their regularization but municipal council is already responsible to provide basic amenities within its limits. Govt. is so interested to collect this money that colonies in small villages are also instructed to submit the fees and it is mentioned in the policy that if any colonizer or plot owner fails to submit this fees, then amount will be recovered as arrear of land revenue. In this policy, Govt. decided to collect fees from all colonies dividing them into two types i.e. after 2007 and before 2007. In category before 2007, all illegal colonies are covered but the original act was implemented only in 1995. It is also very much interested that Govt. is compounding the offence of selling illegal colonies only by accepting money from the offenders, in which Govt. official are also involved. It is pertinent to mention here that municipal council approved maps for construction in illegal colonies within municipal limits. Govt. is itself for illegal colonies and Govt. should accept its responsibility and should withdraw this policy of collecting huge amounts from innocent peoples. Because planned development in these illegal colonies is not possible as for planned development, there should be 35% vacant area which is not available in these colonies. In this way, this policy is mere a way to fill the treasury. So, plot owners and colonizers should boycott this policy.