Punjab RERA Directs Recovery of ₹25.89 Lakh from GMADA Over Plot Delay
The Real Estate Regulatory Authority of Punjab has taken strong action against the Greater Mohali Area Development Authority. RERA has officially directed the Mohali Deputy Commissioner to recover a substantial sum of ₹25,89,659 from GMADA. The authority now treats GMADA as a judgment debtor for its failure to provide timely possession of a plot auctioned back in 2016.
Legal Framework for Recovery
RERA issued this significant order under Section 40 of the Real Estate Act of 2016. This specific section grants the regulatory body clear authority to recover outstanding dues as arrears of land revenue. To formalize this process, authorities have issued a Recovery Certificate directly to the Deputy Commissioner. This certificate provides the legal basis for enforcing the recovery against GMADA.
The Complainant's Long Wait
Amandeep, a resident of Sector 21-A in Chandigarh, brought this case forward. He purchased a 256-square-yard plot during GMADA's 2016 auction for IT City. The development authority originally promised possession in 2017. However, GMADA completely failed to meet this deadline.
"GMADA did not give us possession when promised," Amandeep explained. "They only issued final numbering in 2020, three years after the promised date. Our compensation petition received approval in February 2025, but GMADA still did not comply. Now the authority faces designation as a judgment defaulter."
GMADA's Repeated Non-Compliance
RERA officials noted that GMADA failed to follow their directions issued on February 28, 2025. These directions came from complaint proceedings under Section 31 of the Real Estate Act. When GMADA did not comply with these initial orders, the complainant filed an execution application seeking enforcement.
On October 14, 2025, RERA took further action through execution proceedings. The regulatory body directed GMADA to pay the full amount of ₹25,89,659. The legal basis combines Section 40 of the Act with Rule 24 of the Punjab State Real Estate Rules from 2017. Together, these provisions make any payable interest, penalty, or compensation recoverable as land revenue arrears.
Recovery Process Initiated
Citing GMADA's continued default, RERA has formally asked the Mohali Deputy Commissioner to initiate recovery proceedings. The directive authorizes proceeding against GMADA's assets according to established law. The Recovery Certificate includes important documentation to facilitate this process.
The certificate contains Jamabandi and Farad copies of the project land. These documents will enable authorities to attach assets and proceed with recovery. This move represents a significant enforcement action by Punjab's real estate regulator against a government development authority.
