Mohali Consumer Forum Orders Builder to Give Plot or Refund with 9% Interest

Mohali consumer forum orders Preet Land Promoters to hand over a 10-marla plot or refund ₹13.25 lakh with 9% interest after a 14-year delay.
Mohali Consumer Forum Orders Builder to Give Plot or Refund with 9% Interest

MOHALI, August 29, 2026: A consumer forum has directed Preet Land Promoters and Developers Pvt Ltd to hand over a fully developed 10-marla plot to a woman who had been waiting for possession for nearly 14 years in Preet City, Sector 86, Mohali.

The forum has given the builder two months to provide possession with all required approvals and completion documents.


₹13.25 Lakh Paid but Possession Was Delayed

The complainant, Gurinder Kaur, was allotted a 10-marla plot in Preet City in 2010. The total amount, including external development charges, licence charges and development fund, was ₹13.25 lakh, which she paid in full by July 2014.

Despite receiving the entire payment, the builder did not provide possession of the developed plot or refund the money.


Builder's Financial Excuse Rejected

The builder argued that the plot had been mortgaged with GMADA as security for pending external development charges and could not be released due to financial constraints.

The consumer forum rejected this explanation, holding that providing the promised plot was the builder's responsibility and that a buyer cannot be made to wait indefinitely for possession.

 


9% Interest and ₹1.50 Lakh Compensation

The forum directed the builder to pay 9% annual interest on the amounts deposited by the buyer, calculated from the respective payment dates until possession is handed over.

If the builder fails to provide possession within the prescribed period, it must refund the entire deposited amount with 9% annual interest.

The builder has also been ordered to pay ₹1.50 lakh as compensation for mental harassment, inconvenience and litigation expenses.


Why It Matters for Plot Buyers

The order highlights that prolonged delays in handing over a promised plot can lead to financial relief for buyers. Buyers should preserve allotment letters, payment receipts, agreements and correspondence with developers when seeking compensation or refund for delayed possession.