The Punjab Real Estate Regulatory Authority (RERA) has ordered developer Bajwa Developers Ltd. to refund ₹24,38,075 to homebuyer Sanjeev Kumar following a decade-long delay in the delivery of a residential plot.
In an order dated May 27, 2026, RERA Member Binod Kumar Singh ruled that the Gurgaon resident is entitled to a full refund of his principal plus interest at 10.80% per annum.
The decision comes under Section 18 of the Real Estate (Regulation and Development) Act, 2016, as the project in Kharar failed to meet its 2015 delivery deadline.
The case, Sanjeev Kumar v. M/s Bajwa Developers Ltd. & Ors., underscores the authority’s refusal to let homebuyers remain trapped in stalled projects indefinitely. Sanjeev Kumar’s journey began in July 2012 when he booked a 138.89-square-yard plot in the Sunny Enclave township.
While the developer promised possession within three years, the site remains incomplete in 2026. This landmark ruling provides a clear path for others, including how NRIs use RERA and consumer laws to recover their hard-earned investments from failing developers.
The developer now faces a 90-day deadline to return the total amount with interest. If Bajwa Developers Ltd. fails to comply, the sum will be recovered as arrears of land revenue. This ensures the protection of purchaser rights even when developers are uncooperative.
For many investors, this aligns with the broader context of how mandatory rights of NRIs under the RERA Act are being enforced across Indian courts to resolve property disputes.
Breakdown of payments for the Sunny Enclave plot
Sanjeev Kumar made several payments between 2012 and 2015, totaling more than the initial sale consideration. After an initial “problem” with Plot No. 534, the developer proposed an alternative, Plot No. 500-D, in 2015. Kumar agreed to the switch and paid additional sums, including external development charges (EDC). However, the developer never registered the new plot or provided physical possession.
| Payment Stage | Transaction Date | Amount Paid (INR) |
|---|---|---|
| Initial Booking Payment | July 27, 2012 | ₹7,30,000 |
| Second Installment | April 7, 2013 | ₹4,86,000 |
| Third Installment | June 1, 2013 | ₹6,08,000 |
| Final Sums & EDC Charges | 2015 | ₹6,14,075 |
| Total Principal Refunded | Order Date: May 27, 2026 | ₹24,38,075 |
The developer, led by Chairman Jarnail Singh Bajwa, offered no substantive defense during the proceedings. Despite multiple hearings spanning from 2023 to 2026, the firm failed to dispute the lack of delivery. This silence eventually led the authority to rule in favor of the complainant based on the documented financial trail and the clear breach of contract.
Legal implications of the Section 18 refund order
The Punjab RERA’s decision confirms that a developer’s failure to deliver by the agreed date triggers a binary choice for the buyer. They can either stay in the project and collect delay interest or exit entirely with a full refund. Kumar chose to withdraw, a move that the authority validated due to the “inordinate delay” observed at the Sunny Enclave site.
This case is particularly relevant for the Indian diaspora, as distanced investors can pursue legal cases remotely in modern Indian courts. The fact that Kumar is a resident of Gurgaon, pursuing a case in Mohali against a developer with widespread legal troubles, shows the accessibility of the RERA framework.
Jarnail Singh Bajwa reportedly faces over 40 cases of cheating and was previously sentenced to imprisonment in 2025.
Currently, only 30% of the construction at the 139-acre Sunny Enclave project is complete. As the Punjab RERA continues to enforce possession deadlines rather than developer-declared completion dates, more refund orders may follow. The authority remains firm that a homebuyer’s commitment is tied to the original agreement, not the builder’s local delays.
Frequently Asked Questions
What was the exact refund amount ordered by Punjab RERA?
The authority ordered Bajwa Developers Ltd. to refund a precise principal amount of ₹24,38,075 to Sanjeev Kumar. This sum covers the various installments and external development charges paid by the buyer between 2012 and 2015.
What is the interest rate applied to the delayed refund?
The Punjab RERA set an interest rate of 10.80% per annum. This interest is calculated from the respective dates of each payment made by the buyer until the full amount is realized by the developer.
How long does the developer have to pay the refund?
According to the order passed on May 27, 2026, the developer must pay the refund amount along with the accrued interest within ninety days. Failure to meet this deadline allows for recovery through the attachment of assets as arrears of land revenue.