Refund of amount

If the promoter,- (a) fails to give possession in accordance with the terms of the agreement reached with the buyers of a plot or an apartment duly completed by the date specified or any further date agreed to by the parties; or (b) does not give possession by the date specified or further date agreed, the promoter shall be liable on demand but without prejudice to any other penalties to which he may be liable, to refund the amounts already received by him in respect of that plot or apartments with simple interest at the rate of twelve percent per annum from the date the promoter received the sums till the date the amounts and interest thereon is refunded and the amounts and the interest shall be a charge on the land on which a plot is to be developed or a building is or was to be constructed and the construction, if any, thereon shall be subject to any prior encumbrances.