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2025 DAILYLAW 16196 (AP)

M/S CHINMUDRA CONSTRUCTIONS v. THE STATE OF ANDHRA PRADESH

WP/11148/2025 · 2025-08-12

Venkateswarlu Nimmagadda

body2025

Judgment text

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APHC010212922025 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3329] WEDNESDAY,THE THIRTEENTH DAY OF AUGUST TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE VENKATESWARLU NIMMAGADDA WRIT PETITION NO: 11148/2025 Between: 1. M/S CHINMUDRA CONSTRUCTIONS, REP. BY ITS PROPRITER V.RAMARAO CHOWDARY S/O.V.VEERRAJU, AGED. 50 YEARS,D.N0.69-3-12, MEHER RESIDENCY, NAGAVANAM,RAJENDRA NAGAR, GAIGOLUPADU, KAKINADA(URBAN), KAKINADA DISTRICT. ...PETITIONER AND 1. THE STATE OF ANDHRA PRADESH, REP. BY ITS PRINCIPAL SECRETARY, DEPARTMENT OF PANCHAYAT RAJ, SECRETARIAT BUILDING, VELAGAPUDI, AMARAVATHI, GUNTUR. 2. THE EXECUTIVE ENGINEER, PRI DIVISION RAJAMAHENDRAVARAM, EAST GODAVARI DISTRICT 3. THE PROJECT DIRECTOR, AP STATE HOUSING CORPORATION, RAJAMANDRY, EAST GODAVARI DISTRICT. 4. THE MANAGING DIRECTOR, AP STATE HOUSING CORPORATION, VIJAYAWADA. 5. THE STATE OF ANDHRA PRADESH, REP. BY ITS PRINCIPAL SECRETARY DEPARTMENT OF FINANCE AND PLANNING, SECRETARIAT BUILDINGS, VELAGAPUDI, AMARAVATHI, GUNTUR DISTRICT. ...RESPONDENT(S): 2 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 topleased to issue an appropriate Writ order in direction more, particularly one in the nature of Writ of Mandamus declaring the action of the Respondents in withholding the payments of pending amounts of Rs. 21,82,1071- (Twenty One Lakhs, Eighty Two Thousand One Hundred and Seven Rupees only) even after finalizing the part bills payable to the petitioner in relation to the two works i.e. 1. Internal Roads to Biccavolu-1 Layout of Biccavolu (19,06,798/-),II.Providing WBM Approach road to Housing Layout at nandrada village of rajanagaram mandal (Rs.1,92,0001-) of estimated cost of Rs.3.50 lakhs and pass IA NO: 1 OF 2025 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 Pleased to direct the respondents to forthwith consider releasing the amounts Rs. 21,82,107/- (Twenty One Lakhs, Eighty Two Thousand One Hundred and Seven Rupees only) payable to the petitioner herein, pending disposal of the writ petition and pass Counsel for the Petitioner: 1. DEVASRI ROSHAN KANCHARLA Counsel for the Respondent(S): 1. KALYAN CHAKRAVARTHY R 2. GP FOR PANCHAYAT RAJ RURAL DEV 3. GP FOR FINANCE PLANNING The Court made the following: 3 THE HONOURABLE SRI JUSTICE VENKATESWARLU NIMMAGADDA WRIT PETITION NO: 11148/2025 ORDER: 1. The petitioner had been awarded the contract of work(s) under the subject scheme in East Godavari District. After execution of the said contract, a final bill was prepared for a sum of Rs.21,82,107/- as per the sanctioned orders. As the payment of the said amount has not been made by the respondents, the petitioner has approached this Court by way of this writ petition. 2. It is the contention of the petitioner that even though the respondents admitted that the petitioner is entitled for payment of the aforesaid sum of money, no payment is being made. The petitioner contends that such non- payment of money is clearly arbitrary and high-handed requiring the interference of this Court. 3. This Court, in various orders, including the judgment of a learned Single Judge of this Court dated 05.10.2021 in W.P.No.10038 of 2021 and batch had taken the view that such non-payment of dues is arbitrary and that such dues need to be cleared by the respondents at the earliest. 4. On the other hand, learned Standing Counsel for respondent No.3 filed counter-affidavit, wherein it is stated as follows: “It is respectfully submit that, the Special Chief Secretary to Govt., Housing Department has been requested to take further necessary action for sanction of budget and to release the funds including (“1.Internal Roads to Biccavole-1 Layout of 4 Biccavole (Rs.19,06,798/-), 2. Providing WBM Approach Road, Housing Layout at Nandarada Village of Rajanagaram Mandal (Rs.1,92,000/- i.e., Rs.21,82,107/- (Rupees Twenty One Lakhs Eighty Two Thousand One Hundred and Seven only) by Finance Department APSHCL so as release pending bills to the executing agencies as well as comply with the orders passed by the Hon’ble High Court.” 5. In view of the facts and circumstances submitted in the affidavit, and the directions of this Court in various cases and after hearing the submissions of learned counsel for the petitioner, this Writ Petition is disposed of with a direction to the respondents to release the amount of Rs.21,82,107/- to the petitioner. 6. As far as interest component is concerned, if there is any subsisting clause in the agreement/work order envisaging payment or non-payment of interest upon any amount which is due and payable, the same is binding upon both the parties. In the absence of any clause with regard to interest component in the agreement, the respondents are directed to release the amount along with the interest @ 6% per annum on delayed payment, in view of the judgment of the Hon’ble Division Bench of this Court in Writ Appeal No.724 of 2021 and batch dated 12.10.2023 if not paid, within a period of three (03) months from the date of receipt of a copy of this order. It would also be open to the petitioner to agitate his claim for higher rate of interest, if any payable by the respondents, in an appropriate forum. There shall be no order as to costs. 5 Consequently, Miscellaneous Petitions, if any, pending in this Writ Petition shall stand closed. _____________________________________ VENKATESWARLU NIMMAGADDA,J 13.08.2025 TPS 6 227 THE HONOURABLE SRI JUSTICE VENKATESWARLU NIMMAGADDA WRIT PETITION NO: 11148 OF 2025 13.08.2025 TPS