The River Ravi Project was ruled null and unlawful by the Lahore High Court (LHC) on Tuesday.
During the hearing, the judge accepted the petitions against the project and ordered that work on it be halted immediately.
Justice Shahid Karim has ordered that the Rs5 billion loan used to build the project be returned.
Previously, LHC court Justice Shahid Karim ruled that petitions against the Ravi River Urban Project were valid.
During the hearing, the judge denied the government’s request and stated that the project’s appeals might be heard by the Supreme Court.