News: HC tells Housing Board Haryana to refund money to applicants-09-06-2022
Those who had applied for other schemes including those in Faridabad, Mahendergarh, Dadri and Rohtak shall have to be refunded by the board by October 31.
CHANDIGARH: The Punjab and Haryana high court has ordered Housing Board Haryana to refund the amount deposited by the public for dwelling units in various housing projects advertised by it in which the allotment has not been made for a long time.
As per the orders, those applied for Defence Scheme (Type-A) Sampla would get their deposited amount back by June 30. Those who had applied for other schemes including those in Faridabad, Mahendergarh, Dadri and Rohtak shall have to be refunded by the board by October 31.
The applicants would get the refund along with the mean savings bank interest of the State Bank of India, running from the date of the closing of the registration for these schemes. The HC has also made it clear that nonimplementation of these orders would invite action against the board officials under the contempt of court Act.
“Naturally, needless to say, any delay in implementation would entitle the petitioners to invoke the provisions of the Contempt of Courts Act, 1971, other than, of course, further penal interest to be levied at the rate of 10% per annum with compounding, for delayed payment beyond the aforesaid two dates,” the HC has ordered.
Division bench comprising Justice Amol Rattan Singh and Justice Lalit Batra of the HC passed these orders while hearing a bunch of petitions filed by Raj Pal Singh Gahlaut and others.
The petitioners had sought directions to refund the amounts deposited by them for allotment of flats pursuant to advertisements having been issued by the Housing Board Haryana, in respect of different schemes.
During the hearing of the case, advocate general Haryana Baldev Raj Mahajan informed the HC that only two schemes — Defence Scheme (Type-A) Sampla, Rohtak and Employees Scheme Jind Road, Rohtak — have been scrapped. These schemes were floated in 2013/2014 and were eventually scrapped in 2017. It was stated that such a scheme in four more cities, however, has not been scrapped.
Regarding interest on refund amount, Mahajan informed the HC that there being a statutory provision governing the issue of refund of the money paid by any applicant in any scheme, where such applicant has not been allotted a house/flat within a period of two years from the closing date of registration, this court would not award interest over and above the statutory provision, especially with there being no challenge to the said provision itself.
The petitioners, submitted that the board is charging compound interest of 10% per annum in case of default of payment of instalments, and it is not the fault of the applicants at all that the schemes in question were scrapped, and the money paid by the applicants has been lying with the board for the past 8-9 years now, the same rate of interest should be applied.
“Obviously much more than two years having gone by since the money was deposited... they would be satisfied with refund at bank rates in terms of the aforesaid regulation,” petitioners contented.
