Maharashtra consumer commission rejects builder's review, Rs 19 lakh refund order stands

The Maharashtra State Consumer Disputes Redressal Commission, at its Aurangabad bench, on 2 November 2026 dismissed a review application by Aurangabad builder Rose Builders & Developers. The ruling leaves in place a District Commission order directing the builder to refund Rs 19 lakh that two homebuyers paid for a flat, with 18% interest from 3 February 2016, and Rs 1 lakh in compensation.

What Happened

According to the judgment, the District Consumer Disputes Redressal Commission, Aurangabad, on 30 January 2022 ordered the builder to refund the Rs 19 lakh it had received towards a flat, with 18% interest until payment, and to pay Rs 1 lakh for physical and mental harassment.

The builder appealed to the State Commission. Under Section 41 of the Consumer Protection Act, 2019, a party appealing a District Commission order must deposit 50% of the amount awarded. An accounts report found the builder had deposited Rs 20,50,000 in all, including Rs 10,50,000 paid after the report was called for, against Rs 21,22,425 that it was required to deposit. As the shortfall was not made good despite an opportunity, the State Commission dismissed the appeal.

The National Consumer Disputes Redressal Commission on 14 May 2025 rejected the builder's revision petition as not maintainable, and the builder then sought a review, offering to deposit the balance. The State Commission held that there was no "error apparent on the face of the record" and that the builder had been given "more than reasonable opportunities" to deposit the deficit. It dismissed the review and ordered the builder to pay the homebuyers Rs 10,000 in costs.

What It Means

For homebuyers who win a refund order, the judgment shows that a builder cannot keep an appeal alive without depositing the full 50% of the award that the law requires; a partial deposit can lead to the appeal being dismissed. Here the District Commission's refund order with 18% interest remains in force.

A review is limited to an obvious error in the record, not a fresh hearing of the case. Homebuyers facing delays in refunds or possession can seek help from the National Consumer Helpline (1915) or file a complaint on e-Daakhil.

Source: Consumer commission order