A consumer commission in Hoshiarpur has directed a builder and a housing society to refund Rs 5.25 lakh, along with interest, to a software engineer after finding that a promised housing project failed to progress beyond the planning stage more than 10 years after funds were collected from buyers, reports TOI. The District Consumer Disputes Redressal Commission held that the case amounted to unfair trade practice and deficiency in service, observing that the project remained incomplete despite assurances that possession would be delivered within four years. Buyer sought refund after finding no progress According to the complaint, software engineer Jagpreet Singh Tamber enrolled in the "Krisha Heights" housing scheme in 2015. The project, promoted by Colors Housing Society, assured members that construction would begin the same year and be completed within 36 to 48 months. Based on those commitments, Tamber paid a total of Rs 5.36 lakh through bank cheques. However, during a visit to the project site in July 2017, he found that construction had not commenced and that even basic development work had not been undertaken. Following the inspection, he surrendered his membership and requested a refund of Rs 5.25 lakh, excluding the non-refundable membership fee. The builder and housing society, however, failed to return the amount and instead shifted responsibility between each other. After a legal notice issued in September 2022 did not receive a response, Tamber approached the consumer commission. Commission terms case unfair trade practice The commission, comprising President Naveen Puri and members Prem Singh Salaria and Harvimal Dogra, described the dispute as a classic example of unfair trade practice. It noted that substantial sums had been collected from a consumer in 2015 on the promise of possession within four years, yet the project remained only on paper more than a decade later. The commission rejected the argument that delays in government policies had hindered the development. It held that developers cannot accept money from consumers before obtaining mandatory approvals and then justify delays on regulatory grounds. Builder, housing society directed to repay amount The commission further observed that once the developer failed to demonstrate meaningful progress within the promised timeframe, the buyer became entitled to a full refund. It ruled that real estate entities cannot use public deposits as interest-free capital while consumers wait indefinitely for promised projects to materialise. Accordingly, the commission directed the builder and the housing society to jointly refund Rs 5.25 lakh to Tamber, along with interest at 7 per cent per annum from December 16, 2015, the date of the last major deposit, until the payment is made. The order must be complied with within 45 days.