Bought an appartment. Neighbour putting up unnecessary demands

We bought an appartment flat in Noida in which is 20 years old, we got the renovation done. But as part of any civil work, there was seepage to lower floor, the seepage was due to labourer and we acknowledge it. We asked our contractor to talk to people and get the work done. We even held back the money. Fast forward today... contractor absconded and is not picking up calls. The lower floor people are asking us to do paint correction on walls which have no connection that too on full wall and not just the patch. Even there is no mark of seepage around the patch. Initially we were okay with getting the patch work done on the wall just to resolve the issue. Today we went to their house to inspect the work need to be done and lady of house was just abnoxiously aggresive I tried to convey that seepage would show up on roof and area surrounding as well. The patch is in the middle of the interior of vertical wall while water seepage was on balcony and we do not see seepage on exterior of same wall. They are adamant that wall issue is our fault and asked us to leave. The contractor from whom they got their work done left the work incomplete and i suspect that the patch they are seeing is because on inferior quality and is not our mistake. Did I do right thing to reject their ask. The quote to get work done was approx 10k and we are not even sure if we get the work done for them they would be satisified or will not demand more thing to be done Please help. This is the first time we are living in a appartment and do not know how things work in this setting