Mohali: RERA directs builder to pay ₹9-lakh interest on delayed possession

The allottees, represented by advocate Mandeep Singh Khillan, said they had been waiting for valid possession of a flat despite having deposited most of the payment

chandigarh@hindustantimes.com

To ensure compliance, RERA has declared the recoverable amount as land revenue under Section 40(1) of the RERA Act. (HT File)

The Punjab Real Estate Regulatory Authority (RERA) has ordered ₹9 lakh as interest on delayed possession to V.N. Sharma Builders Private. Limited. and directed the promoter to issue a valid possession offer for a flat in Zirakpur, after obtaining the occupation or completion certificate.

The allottees, represented by advocate Mandeep Singh Khillan, said they had been waiting for valid possession of a flat despite having deposited most of the payment. They told the authority that the builder had sent a possession offer without securing the required approvals, prompting them to seek enforcement of the earlier RERA order.

RERA reviewed the earlier directions, payment records and the status of statutory certificates for the project. The authority noted that the objections raised by the promoter had already been decided and could not be reopened. It also recorded that although an appeal had been filed, no stay order was produced.

Based on the interest calculations submitted by the complainants and with no challenge from the builder, the authority fixed ₹9 lakh as delayed interest up to February 28, 2026. It further ordered monthly interest of ₹16,724 from April 1, 2026 until a valid possession offer is issued.

The authority also directed the promoter to adjust the interest amount at the time of handing over possession and issue a fresh, lawful possession offer after obtaining the completion or occupation certificate. Both respondents have been held jointly and severally liable.