Research › Search › Judgment

High Court of Andhra Pradesh · body

2025 DAILYLAW 13966 (AP)

M/s MSR Constructions, v. The State of Andhra Pradesh,

WP/8658/2024 · 2025-05-07

Sumathi Jagadam

body2025

Judgment text

Extracted from the PDF above. The PDF is authoritative.

IN THE HIGH COURT OF ANDHRA PRADESH :: AMARA (Special Original Jurisdiction) THURSDAY,THE EIGHTH DAY OF MAY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SMT JUSTICE SUMATHI JAGADAM WRIT PETITION NO: 8658 OF 2024 Between: M/s MSR Constructions, Rep by its Managing Partner M Abhinay, S/o Sreenivasulu Reddy, Aged about 29 years, R/o Ramudupalem Village, Mypadu, Indukurpeta Mandal, SPSR Nellore District. ...PETITIONER AND 1. The State of Andhra Pradesh, Rep. by its PrI. Secretary, Water Resources Department, AP Secretariat, Velagapudi, Amaravathi, Guntur District. 2. The State of Andhra Pradesh, Rep. by its PrI. Secretary, Finance and Planning Department, AP Secretariat, Velagapudi, Amaravathi, Guntur District. 3. The Superintendent Engineer, Water Resources Department, Irrigation Circle, Nellore, SPSR Nellore District. 4. The Commissioner CADA, Water Resources Department, Hanumanpet, Vijayawada. 5. The Executive Engineer, Water Resources Department, Nellore Central Division, Nellore, SPSR Nellore District. ...RESPONDENTS Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue a writ, order or direction, more particularly one in the nature of WRIT OF MANDAMUS declaring the action of the respondents in non-payment an amount of Rs. 17,12,447/- in total due for the last Two ' years even after finalizing the bills, payable to the petitioner after the successful completion of the execution of work i.e.. Protection Arrangements and Old Masonry culvert to Thotapalli Filed Channel in T P Gudur Mandal of SPSR Nellore District vide Agreement no 07 O&M/2023-24 dated 28.08.2023 duly approved by the respondents, as illegal, arbitrary, unjust, unreasonable and violative of fundamental rights guaranteed to the Petitioner under Articles 14 and 21 of the Constitution of India and consequently direct the respondents to release an amount of Rs. 17,12,447/- towards the works executed by the petitioner along with 12% interest per annum. I lA NO: 1 OF 2024 Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased to direct the respondents to pay the amount of Rs. 17,12,447/- in total due for the last Two years even after finalizing the bills, payable to the petitioner after the successful completion of the execution of work i.e., Protection Arrangements and Old Masonry culvert to Thotapalli Filed Channel in T P Gudur Mandal of SPSR Nellore District vide Agreement 07 O&M/2023-24 dated 28.08.2023 forthwith, pending disposal of the main writ petition. Counsel for the Petitioner: SRI SIVAPRASAD REDDY VENATI Counsel for the Respondent Nos.1, 3 to 5: GP FOR IRRIGATION & CAD Counsel for the Respondent No.2: GP FOR FINANCE AND PLANNING The Court made the following: ORDER no APHC010170012024 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3459] THURSDAY, THE EIGHTH DAY OF MAY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SMT JUSTICE SUMATHI JAGADAM WRIT PETITION NO: 8658/2024 Between: M/s Msr Constructions, ...PETITIONER AND The State Of Andhra Pradesh and Others ...RESPONDENT(S) Counsel for the Petitioner: 1.SIVAPRASAD REDDY VENATI Counsel for the Respondent(S): 1.GP FOR FINANCE PLANNING 2.GP FOR IRRIGATION COMM AREA DEV The Court made the following ORDER: The present writ petition is filed under Article 226 of the Constitution of India seeking the following relief: “...to issue a writ, order or direction, more particularly one In the nature of WRIT OF MANDAMUS declaring the action of the respondents in non payment an amount of Rs. 17,12,447/- in total due for the last Two years even after finalizing the bills, payable to the petitioner after the successful completion of the execution of work I.e.. Protection Arrangements and Old Masonry culvert to ThotapalF Filed Channel In T P Gudur Mandal of SPSR Nellore District vide Agreement no 07 OandM/2023-24 dated 28.08.2023 duly 2 approved by the respondents, as illegal, arbitrary, unjust, unreasonable and violative of fundamental rights guaranteed to the Petitioner and 21 of the Constitution of India and consequently direct the release an amount of Rs. 17,12,447/- towards the petitioner along with 12percent interest order or orders may deem fit and proper in the circumstances of the In spite of adjourning the matter, the respondents have counter affidavit. under Articles 14 respondents to works executed by the per annum and to pass such other case. 2. not filed their 3. The case of the petitioner is that the petitioner has participated tender process and the 5"' respondent has entered into agreement with the petitioner vide agreement No.07 O&M/2023-24 execution of works relating to Protection Arrangements in the dated 28.08.2023 for and Old Masonry Culvert to Thotapalli filed Channel in T.P.Gudur Mandal of SPSR Nellore District. The petitioner has completed the work. The S'" respondent has issued quality control certificate and also the measurement books and passed final bill for an amount of Rs.17,12,447/-. 4. Learned counsel for the petitioner submits that petitioner has borrowed amounts from third parties to execute the work and is paying huge interest. Though the first and final bills were passed on 31.12.2023, the bills amount iIS not yet paid to the petitioner even after lapse of two years. The learned counsel for the petitioner further submits that in similar circumstances, this Court in S. Srinivas Vs. State of Andhra Pradesh and others^ held as under; 2021 Lawsuit (AP)390 3 In the considered opinion of this Court, withholding the amount for which the petitioner is legitimately entitled is nothing but depriving the petitioner. Due to illegal action of non-payment of the amounts promptly by clearing the bills submitted by the petitioner after execution of works, the petitioner could not feed and see the welfare of his family properly and he could not make payments to his employees/workers and he could not make payments to the material suppliers and he has to pay interests for the debts incurred by him for execution of works. Due to this situation, petitioner’s respect and dignity in the society will be deteriorated. 71) such this Court holds that withholding the amount, for which the petitioner is legally entitled, is illegal, arbitrary, and unjust and violative of Article 21 of the Constitution of India. 22) A larger bench of the Hon’ble Apex Court in Secretary, Irrigation Department, Government of Orissa and others V. G.C.Roy opinied as extracted hereunder: 24) “A person deprived of the use of money to which he is legitimately entitled has right to be compensated for the deprivation, call it by any name. It may be called interest, compensation or damages”. The High Court of Andhra Pradesh in J.Devendra Reddy V Kakatiya University and another held that withholding of the amount payable to the petitioner for the contract works, constitutes patent arbitrariness on the part of the respondents. ” 25) 5. This Court has observed that though the works were completed long back and the bills were passed on 31.12.2023, the respondents have not released the amounts so far on the ground of insufficiency of funds. Since there is no dispute with regard to the execution of work and the bills amount, the respondents should pay the bills amount on “first done first paid” basis. 4 6. In view of the foregoing discussion and in the light of the law laid down by this Court in S. Srinivas case referred supra, the Writ Petition is disposed of, with the following directions: i) The respondents are directed to clear the bills submitted by the petitioner and release an amount of Rs. 17,12,447/- in favour of the petitioner along with interest on the said amount as per the entitlement vide the judgment of the Division Bench of this Court in Writ Appeal No.724 of 2021 and batch of dated 12.10.2023, within eight (8) weeks from the date of receipt of a copy of this order. cases ii) The interest shall be computed from the date of expiry of one month from date of submission of the bill by the petitioner till the date of payment. the There shall be no order as to costs. As a sequel, miscellaneous petitions pending, if any, shall stand closed. Sd/- K TATA RAO DEPUTY REGISTRAR //TRUE COPY// SECTi^^FFICER To, 1. The PrI. Secretary, Water Resources Department, State of Andhra Pradesh, AP Secretariat, Velagapudi, Amaravathi, Guntur District. The PrI. Secretary, Finance and Planning Department, State of Andhra Pradesh, AP Secretariat, Velagapudi, Amaravathi, Guntur District. The Superintendent Engineer, Water Resources Department, Irrigation Circle, Nellore, SPSR Nellore District. The Commissioner CADA, Water Resources Department, Hanumanpet, Vijayawada. The Executive Engineer, Water Resources Department, Nellore Central Division, Nellore, SPSR Nellore District. 2. 3. 4. 5. 6. One CC to Sri Sivaprasad Reddy Venati, Advocate [OPUC] 7. Two CCs to GP for Irrigation and CAD, High Court of A.P. at Amaravati[OUT] 8. Two CC’s to GP for Finance and Planning, High Court of A.P. at Amaravati[OUT] 9. Three CD Copies. ssb HIGH COURT DATED:08/05/2025 ORDER WP.No.8658 of 2024 'x ) 9 JUN 2025 a3- Cuiiwn Mcuon S^esPATC^ DISPOSING OF THE W.P. WITHOUT COSTS