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Fresh row erupts over GMADA’s additional price recovery in Mohali sectors 76-80

Allottees allege interest, penalty deductions on refunds; seek review of policy

plotsAllottees allege GMADA unfairly deducts interest/penalties from excess amount refunds. (Source: Express Archives)

A fresh controversy has surfaced over Greater Mohali Area Development Authority’s (GMADA) recovery of additional price from residential plot allottees in Sectors 76 to 80 of Mohali. Allottees who had deposited the full amount earlier have alleged that GMADA is deducting interest and penalty charges while refunding the excess amount, calling it “gross injustice”.

Calling the move “unjust”, Sucha Singh Kalaur, president of the Sector 76-80 Plot Allotment Sangharsh Committee on Thursday, submitted a representation to the GMADA Chief Administrator, demanding that such allottees be refunded the excess amount without any interest deductions.

She said on April 7, GMADA, following a Punjab Cabinet decision, reduced the additional price from Rs 3,164 per square metre to Rs 2,216 per square metre and ordered issuance of fresh demand notices.

Under the revised instructions, allottees who had not received notices earlier are now being issued fresh notices at the reduced rate. Those who had already deposited the amount were told that the excess payment would be refunded without any interest deductions.

However, a 100-square-yard plot allottee from Sector 78, requesting anonymity, claimed that GMADA had issued him an enhancement notice of Rs 2.65 lakh in 2023. The notice stated that no interest would be charged if payment was made within 30 days, while delayed payments would attract 12 to 18 per cent interest and could be paid in two instalments.

The allottee said that after the matter remained pending in the High Court and following a long wait, he deposited Rs 3.40 lakh in April 2025. Later, the government reduced the rates and announced refunds of the excess amount.

According to him, the revised calculation showed that his actual additional liability was Rs 1,85,279. However, when he received the refund cheque from GMADA, it was for only around Rs 1.01 lakh. He alleged that nearly Rs 53,721 was unfairly deducted.

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The allottee questioned why those who made timely payments are now facing deductions, while those who had not received notices earlier are paying lower amounts.

“We deposited the full amount on time as directed by GMADA. Instead of compensating us, deductions are being made from our refund. What kind of justice is this,” he said.

He further claimed that the issue is not limited to 100-square-yard plots. Sectors 76 to 80 also have 200-square-yard, 500-square-yard, one-kanal and two-kanal plots, which means many more allottees could be affected.

When contacted, GMADA Estate Officer (Plots) Varun Kumar said a delegation had submitted a letter on Wednesday and the matter was being examined. He said the issue would be resolved within a day or two as per rules.

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