HC strikes down GMADA’s charges on land transferees in Mohali

The Punjab and Haryana High Court has ruled that the Greater Mohali Area Development Authority (GMADA) cannot ask for extra charges from people who bought land from the original owners. These extra fees, called Preferential Location Charges (PLC), were being imposed under Punjab’s 2013 land pooling policy. The court said that these charges were unfair and not mentioned in the official documents.

Court orders refund of extra charges

A total of 118 land buyers went to court, challenging GMADA’s decision to charge them extra money. The High Court, led by Justices Sureshwar Thakur and Vikas Suri, looked at the official policy papers and found no rule that allowed GMADA to ask for PLC. The judges said that both the first owners of the land and the new buyers should be treated equally.

The court has now canceled these charges and ordered GMADA to return any money collected under this rule. The refund must be made within two months, and GMADA must also pay 6% interest per year from the time the money was deposited.

Apart from canceling the extra fees, the court also ordered GMADA to give possession of the land to buyers within two weeks. GMADA must also complete all official paperwork within the next fifteen days to ensure that buyers get full ownership of their plots.

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This judgment is important because it protects property buyers from unfair charges. The ruling makes it clear that government policies must be followed exactly as written, and no extra conditions can be added later.