Chandigarh, November 14 – The Haryana Right to Service Commission has issued an important order directing the Haryana Housing Board to recalculate the outstanding amount recorded in the complainant’s account and provide the revised details within 30 days. The Commission has also directed that the complainant be paid a compensation of Rs. 5,000. This amount will be paid by the Housing Board but recovered from the officer who failed to issue necessary directions for two years.
Sharing information in this regard a spokesperson of the Commission said that it was found that the Housing Board imposed additional tax and interest based on the GST notification dated August 3, 2022. However, no notice regarding this was issued to any allottee for two years. Recovering interest without informing the allottee is not only against the principles of natural justice but also a clear example of administrative negligence. The Commission also rejected the Board’s argument of “administrative constraints,” as no factual record or evidence was provided to support the claim.
The Commission further clarified that the court rulings cited by the Board were not relevant to the present case and cannot be used to justify procedural errors. The Commission stated that while the principal GST amount is valid and must be paid by the complainant, the interest for the period during which no notice was issued cannot be imposed. As per Section 73(2) of the CGST Act 2017 requires notice, and failure to comply with this provision is contrary to the spirit of the law.
The Commission also clarified that when the service required is the issuance of a No Dues Certificate, and the outstanding amount in the applicant’s account is directly linked to this service, the Commission has full authority to examine the validity and fairness of the financial calculations. The Housing Board’s claim that the Right to Service Act is not a forum for redressal of financial disputes was not accepted. The state government itself has notified several services under this Act that involve financial transactions and calculations.
In its order, the Commission stated that since there was no active legal contract between the Housing Board and the complainant after the year 2022, it was necessary for the Board to inform the allottee and clarify the liability before imposing any additional tax. Adding interest without prior notice is unjust to the allottee and such administrative lapses are unacceptable.
The Commission has directed the Housing Board to revise the outstanding amount as per the interim order dated July 15, 2025, and provide the recalculated details to the complainant within 30 days. The Board has also been directed to obtain the complainant’s bank details and transfer the compensation amount. Besides this, the Commission has asked the Housing Board to submit a compliance report by December 19, 2025.
The Commission warned that if the directions are not followed within the stipulated time, or if a stay/ cancellation order is not obtained from a competent court, it will be compelled to initiate punitive action against the Chief Administrator of the Housing Board.
