The decision was taken by state local bodies minister Navjot Singh Sidhu in connection with alleged malpractices with regard to the Galiara project in Amritsar, he said.
STP Hemant Batra has been dismissed from service, a spokesman said while other officials Banke Bihari, Rajinder Sharma (both ATPs) and Harjinder Singh building inspector, were ordered to be reverted to one rank below of their current position.
Apart from this, seven other officers -- Shakti Sagar Bhatia, Des Raj, Surjit Singh, Ramesh Chandra, Suresh Raj, Manohar Singh Bhatti and Michel -- would be facing the punishment of 50 per cent cut in their pension for three years.
After following due procedure as per the rules and after obtaining comments from the charged officials, an inquiry was conducted by Additional District Judge (Retd.) B C Gupta.
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The inquiry officer submitted its report in 2016 as per which charges could not be proved against 20 officials while the rest were found guilty.
The spokesman said upon reviewing the entire matter, Sidhu decided to give personal hearing to all concerned officials for reviewing or enhancement of punishment commensurate with their misconduct.
During the personal hearing, the charged officials were unable to refute charges of dereliction of duty, the spokesman said.