Mohali, Aug. 13 -- The district consumer disputes redressal commission has directed the Greater Mohali Area Development Authority (GMADA) to pay Rs.1 lakh compensation to a man for failure to allot a 500-square-yard plot in the IT City despite having received the earnest money. The commission has also directed the urban development authority to hand over possession of the original plot or an alternative 500-square-yard plot to the complainant after receiving full payment at the prevalent rate along with surcharge and interest, as per the letter of intent (LOI) terms. It has been told to ensure compliance within two months. The case dates to 2016 when Rajiv Mangal of Ferozepur had applied for a plot in IT City, depositing Rs.10 lakh as earnest money to GMADA. Mangal was successful in the draw-of-lots and was issued the LOI on November 23, 2016, requiring him to pay Rs.20 lakh more by December 21, 2016. However, the LOI and payment demand reached him late. Upon receiving the letter, Mangal wrote to GMADA on February 22, 2017, offering to pay the amount along with any applicable surcharge. Clause 5 of the LOI allowed delayed payments of up to six months with surcharge and penal interest. Despite this, GMADA did not consider his request and, in August 2019, cancelled the allotment, forfeiting the earnest money without issuing a show-cause notice or granting a personal hearing. Mangal's subsequent legal notice went unanswered, and his appeal before GMADA's additional chief administrator was later withdrawn with liberty to approach another competent forum. He then filed a complaint under the Consumer Protection Act, 2019, seeking allotment of the original plot or an alternative, along with Rs.10 lakh compensation for mental harassment and litigation costs. In its defence, GMADA argued that Mangal had failed to pay within the stipulated period or request an extension in time, and that the cancellation order had attained finality. However, the commission observed that Mangal's February 2017 request fell well within the permissible extended period under the LOI. The commission, headed by president SK Aggarwal and member Paramjeet Kaur, found GMADA's action unjustified, noting that similar concessions had been granted to otherallottees. It also found GMADA guilty of deficiency in service for cancelling the complainant's allotment and forfeiting earnest money without giving him a hearing....