The Punjab State Consumer Disputes Redressal Commission has ordered real estate developer Sushma Leisure Homes Private Limited and its directors to refund more than Rs 80.38 lakh to two homebuyers, citing an indefinite delay in completing a residential project in Kasauli, Himachal Pradesh.
Along with the refund, the builder must pay 12 percent annual interest on the deposited amount. The commission, consisting of President Justice Raj Shekhar Attri and Member Preetinder Singh, also awarded Rs 75,000 as compensation for mental harassment and Rs 35,000 to cover legal expenses.
Project Details And Financial Agreement
The order stems from a complaint filed by Surinder Kaur and Navdeep Singh Multani, who had booked an apartment in Tower-8 of the Sushma Elementa project in Kasauli. The parties had signed a buyer’s agreement on June 17, 2022, for a total consideration of Rs 81.71 lakh.
According to the complaint, the buyers made a down payment of Rs 80.38 lakh by August 29, 2022, leaving a balance of Rs 1.32 lakh to be paid upon taking possession. While the developer had agreed to pay an assured monthly rent of Rs 20,000 until handing over the unit, these payments stopped in July 2024.
Construction Delays And Legal Proceedings
During a visit to the site in February 2026, the buyers found that only foundation work had been completed for Tower-8, with no proper approach road or promised infrastructure in place. The complainants subsequently approached the commission, alleging deficiencies in service and unfair trade practices due to the builder’s failure to complete construction, secure the necessary occupation or completion certificates, or deliver the property.
The developer and its directors failed to appear in court or submit any written statements and evidence despite receiving official notices. Consequently, the commission proceeded with the case ex parte.
Commission Findings And Final Order
At the final hearing, the legal counsel representing the buyers abandoned the primary request for possession of the flat, choosing instead to seek a refund of the deposited money with interest due to the ongoing delay and uncertainty.
In its ruling on June 24, the commission observed that the developer’s absence showed a clear lack of interest in disputing the allegations. The panel stated that there was no evidence of possession being offered or delivered, and ruled that buyers are legally entitled to a refund with interest and compensation once a promised delivery date is missed.
The commission held the builder and its directors jointly and severally liable for the payments. It also ruled that the developer can deduct any monthly rent or assured returns already paid to the homebuyers from the final refund amount.
