2026 Supreme(Online)(Mad) 31778
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 16-03-2026
CORAM THE HONOURABLE MR JUSTICE M.DHANDAPANI
WP No. 9653 of 2026 and WMP Nos.10403, 10405 & 10406 OF 2026,
1.S.Preeti
2.S.Sugan
Petitioner(s)
Vs
The Tamil Nadu Housing Board
Rep by the Executive Engineer cum administrative officer
Nandanam Division No.485,MTB building
Nandanam Chennai-600 035
Respondent(s)
For Petitioner(s): Ms.T.Hemalatha
For Respondent: Mr.D.Veerasekaran
16-03-2026
dhk
Index:Yes/No Speaking/Non-speaking order Internet:Yes Neutral Citation:Yes/No
To
The Tamil Nadu Housing Board
Rep by the Executive Engineer cum administrative officer
Nandanam Division No.485,MTB building
Nandanam Chennai-600 035
M.DHANDAPANI J.
dhk
16-03-2026
PRAYER :
Petition filed under Article 226 of Constitution of India, calling for the records of the order passed by the respondent in Letters bearing Letter No.N.T.R.11/001679/2021 dated 24.07.2024 and quash the same and direct the respondent Board to pay appropriate compensation by way of interest at such rate as may determined by this Honble court for the delay in handling over possession of HIG Flat No.4B (4th floor) to the petitioner calculated from the agreed date of handing over possession
ORDER
WMP.No.10403 of 2026 has been filed to permit the petitioner to file a single writ petition. This petition is ordered on payment of separate court fee.
2. The writ petition has been filed seeking to quash the demand notice dated 24.07.2024 and direct the respondent Board to pay appropriate compensation by way of interest at such rate as may determined by this court for the delay in handing over possession of HIG Flat No.4B(4th floor) to the petitioners calculated from the agreed date of handing over possession.
3. It is the case of the petitioners that the Tamil Nadu Housing Board launched a project for construction of 102 premium High income group flats in Turn Bulls Tower, a new residential development under self financing scheme located near GK Moopanar Flyover, Nandanam, Chennai. The proposed flat ranged in size from 1392 to 1541 sq. ft. across 17 floors. The respondent board issued an advertisement inviting online application during the period from 14.09.2021 and 13.12.2021 for the above project and the successful applicant would be selected by lottery and requested to pay initial and subsequent instalment totally between 137.70 lakhs to 152.25 lakhs by December 2022 for ownership of the flats. The due date of the completion of the flat was promised as December 2022. In respect of the above project, the respondent TNHB obtained planning permission from CMDA vide P.P.No.13288 dated 22.07.2021. The Tamil Nadu Housing Board also obtained approval from the Real Estate Regulatory Authority viz., RERA vide approval dated 28.09.2021.
4. It is the further case of the petitioners that initial deposit (5%) was to be paid along with application by Demand Draft and the selected applicant was required to pay another 5% of the amount within 21 days from the date of receipt of the allotment order. Balance 90% payment was to be remitted by instalments. The petitioners have submitted their applications and the same was registered. The petitioners have received a communication dated 01.02.2022 from the respondent confirming that the petitioners have been allotted the above flats and the final cost of the flat is Rs.1,43,38,000/- The petitioners remitted all instalment payments on time and construction of flat was also completed by April 2024. By a subsequent communication, the petitioners were called upon to come and collect key handing over letter based on the completion certificate issued by CMDA in April 2024. Thereafter, the key handing over letter was also issued wherein there was no reference to any outstanding payment including any GST demand. All of a sudden, by letter dated 24.07.2024, the petitioners were called upon to remit another amount to the tune of 5% of the total cost towards GST allegedly payable by the petitioners. It is the contention of the petitioners that the notice of the board at the time of launching of the project itself it was clearly stated that the sale price is inclusive of GST. The said demand notice is totally untenable. Challenging the said demand notice dated 24.07.2024, the petitioners have filed the present writ petition.
5. The learned counsel brought to the notice of this Court that the issue arose in the present writ petition has already been decided by this Court in WP.No.33993 of 2024 dated 02.06.2025 etc., batch cases, wherein this Court has allowed the writ petitions and directed the Board to refund the additional payment to the allottees, who have paid the extra 5% GST.
6. Learned counsel for the r