The present ethnographic study explores the displacement of the people by the government of Pakistan‘s mega project Tarbela dam. Those affected by the project were resettled in different areas of Pakistan. The study has critically analyzed the problems faced by such resettlers after the resettlement. Therefore, the topic chosen for this study is ―adjustment problems of the resettlers of Tarbela dam in Pakistan‖. The study has found that the involuntary resettlement created many problems for the resettlers in the areas of the resettlement including problems in language, education, housing, sanitation, construction, weather conditions, employment and assimilation. While the main objective of this study is to understand the perceptions of the resettlers (both men and women) regarding their adjustment in the new areas. Previous studies from around the world have shown that people affected by such mega projects were not properly compensated. Governments usually do not do much for resettlers; they pay them nominal price and do not assist them much. . The same thing happened in this case as well. The resettlers were not properly compensated and, therefore, they still feel deprived; they criticize the government‘s officials for such an action. This study, therefore, has employed qualitative methodology wherein unstructured interviews and focused group discussions (FGDs) were conducted with the respondents. The research design was ethnography wherein the researcher lived in the communities under investigation. Furthermore, the study has found that in Pakistan there is still no resettlement policy for people displaced by the government‘s decisions. In the absence of such a policy, it does not seem possible to compensate the resettlers according to the law. Apparently all mega development projects in Pakistan, involving dislocation of people have been carried out on the basis of the World Bank guidelines for resettlement. The key findings of the study are removal of their Hujra system which caused their non-adjustment in the new area. Secondly, loss of veiling (Pardah) for women due to displacement was yet anotherreason for their non-adjustment in the new area. A policy for proper assimilation and compensation of resettlers has been recommended in this research. It has also been suggested that resettlers must be involved in the planning, designing and implementation stages of resettlement plan. Furthermore, need to protect culture of resettlers and their values has been highlighted and recommended in this research