Prateek Tanmay
3 min readChandigarhJul 17, 2026 06:42 PM IST
The State Consumers Disputes Redressal Commission, Chandigarh, has directed Sushma Leisure Homes Private Limited and its directors to refund over Rs 80.38 lakh, along with 12 per cent annual interest, to two homebuyers after holding that the developer failed to deliver a flat in its Sushma Elementa project in Himachal Pradesh within the promised timeline.
The Commission, comprising Justice Raj Shekhar Attri (President) and Member Preetinder Singh, also awarded Rs 75,000 as compensation for mental agony and harassment and Rs 35,000 towards litigation expenses.
According to the complaint, Surinder Kaur and Navdeep Singh Multani had booked a flat in Tower-8 of the Sushma Elementa project at Kasauli. A buyer’s agreement was executed on June 17, 2022, for a total sale consideration of Rs 81.71 lakh.
The complainants said they paid Rs 80.38 lakh under the down payment plan by August 29, 2022, leaving only Rs 1.32 lakh payable at the time of possession. They alleged that the developer had agreed to pay an assured monthly rent of Rs 20,000 until possession but stopped the payments from July 2024.
Despite repeated representations, the builder neither completed construction nor obtained the occupation/completion certificate or handed over possession. During a visit to the project site in February 2026, the complainants found that construction of Tower-8 had barely progressed beyond the foundation stage and that the promised infrastructure, including a proper approach road, was missing. They alleged deficiency in service and unfair trade practices.
The builder and its directors were proceeded against ex parte after failing to appear despite service of notice. No written statement or evidence was filed on their behalf.
At the final hearing, counsel for the complainants withdrew the prayer seeking possession of the flat and instead sought a refund of the deposited amount with interest, citing the prolonged delay and uncertainty surrounding completion of the project.
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Allowing the complaint partly, the Commission observed that the complainants’ contentions had remained “wholly unrebutted, uncontroverted and unchallenged” as the opposite parties chose not to contest the proceedings.
“There is nothing on record that possession of the unit in question stood offered and delivered to the complainants. In these circumstances, we cannot make the complainants wait for an indefinite period, at the whims and fancies of the opposite parties,” the Commission said, adding that buyers are entitled to seek a refund with interest once the committed date of possession has expired.
The Commission directed the developer and its directors, jointly and severally, to refund Rs 80.38 lakh with 12 per cent annual interest from the respective dates of deposit until realisation. It also clarified that the builder would be at liberty to deduct any assured returns or monthly rent already paid to the complainants from the refund amount.
