The district consumer disputes redressal commission, Mohali, directed a Zirakpur-based real estate developer to refund ₹14.4 lakh with 9% annual interest to a Chandigarh couple after a dispute over the allotment of a commercial unit in its Sushma Capital project. The couple stated that they secured a loan sanction of ₹35 lakh from HDFC Bank for the purchase. However, they alleged that the developer failed to issue the demand letter required for the bank to release the loan amount. (HT File)The order came on a complaint filed by Manish Gusain and his wife Nisha, residents of Sector 7-A, Chandigarh, against Township Realtors, its directors and authorised signatories. HDFC Bank was impleaded as a proforma party.According to the complaint, the couple returned to India in November 2023 after a temporary employment stint abroad and planned to start a wholesale business dealing in gift and decoration items. They booked Commercial Unit No 35 on the upper ground floor of the developer’s Sushma Capital project near Dhakoli and Ghazipur Junction in Mohali district.The complainants told the commission that they paid a booking amount of ₹14.4 lakh in November 2023. The developer issued an allotment letter on November 22, 2023, and executed a builder-buyer agreement for a commercial unit measuring 443 square feet for a total sale consideration of ₹62.39 lakh. Under the agreement, possession was to be handed over by May 22, 2024.The couple stated that they secured a loan sanction of ₹35 lakh from HDFC Bank for the purchase. However, they alleged that the developer failed to issue the demand letter required for the bank to release the loan amount. They claimed that the remaining payment was later arranged by the complainant’s father. They also alleged that despite repeated emails, written requests and a legal notice, the developer neither issued the demand letter nor handed over possession.The developer contested the complaint, stating that the complainants had opted for a down-payment plan but failed to deposit the balance amount within the stipulated period. It argued that the complainants voluntarily surrendered the allotment, returned the original documents and the unit was subsequently allotted to another buyer. The company maintained that the complainants were entitled only to a refund after deductions under the builder-buyer agreement.During the proceedings, the complainants amended their plea and withdrew the request for possession, restricting their claim to a refund of the deposited amount with interest.After examining the records, the commission comprising president SK Aggarwal and its members Paramjeet Kaur and Lt Col JS Bath held that since the allotment had already been cancelled and the unit had been re-allotted, the complainants were entitled to a refund. It directed Township Realtors and its office-bearers to refund ₹14.4 lakh with 9% annual interest from the dates of deposit within 30 days.Failing this, the amount will carry 12% annual interest until payment. The commission also directed the developer to pay ₹1.5 lakh towards compensation and litigation expenses. The complaint against HDFC Bank was dismissed.