The Punjab Real Estate Regulatory Authority (RERA) has directed Royale Empire and its directors to refund ₹57 lakh paid by a Ludhiana couple for a flat in its Peer Muchalla project in Zirakpur, along with interest, after the developer failed to offer possession within the agreed timeline.
RERA member Arunvir Vashista passed the order, on a complaint filed by Raini Bansal and her husband Rajeev Bansal. The couple had booked flat P-504 in the Royale Empire project through an agreement to sell dated December 17, 2019.
According to the complaint represented by advocate Mohd Sartaaj Khan, the flat cost ₹51 lakh, while the couple paid ₹57 lakh including additional charges to the developer. Under the agreement, the promoter had to deliver possession within three months, by March 17, 2020. However, the project was not near completion and the developer did not offer legal possession, the complainants told the authority.
The couple also alleged that the project had not been registered under RERA. They subsequently sought a refund, saying they did not want to continue with the project.
The authority noted that the respondents did not appear despite receiving notice and proceeded against them ex parte on November 6, 2025. The couple submitted the allotment letter, agreement to sell, no-dues certificate and offer of possession in support of their complaint.
RERA held that the complainants’ evidence and claims remained unrebutted. It said Section 18 of the Real Estate (Regulation and Development) Act gives an allottee the right to withdraw from a project if the promoter fails to complete it or deliver possession according to the agreement.
The authority directed Royale Empire and its directors to refund the ₹57 lakh along with interest at the rate prescribed under the Punjab RERA rules , the State Bank of India’s highest marginal cost of lending rate plus 2% calculated from the respective dates of payment until realisation. It further directed that if the respondents fail to make the payment within the stipulated period, authorities can recover the amount as arrears of land revenue.