Research › Search › Judgment

High Court of Andhra Pradesh · body

2025 DAILYLAW 18128 (AP)

KION PROJECTS AND INDUSTRIES v. THE STATE OF ANDHRA PRADESH

WP/12560/2024 · 2025-07-06

Nyapathy Vijay

body2025

Judgment text

Extracted from the PDF above. The PDF is authoritative.

APHC010251472024 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3460] MONDAY, THE SEVENTH DAY OF JULY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE NYAPATHY VIJAY WRIT PETITION NO: 12560/2024 Between: 1. KION PROJECTS AND INDUSTRIES, FIRM NO. 208 OF 2019 VILLA NO. 190, RAMAKRISHNA TOWNSHIP, NEAR ACHARYA NAGARJUNA UNIVERSITY, NAMBURU, GUNTUR DISTRICT. REP. BY ITS MANAGING PARTNER, BOLLA VISHNUVARDHANA REDDY S/O B. NAGI REDDY, AGED ABOUT 37 R/O H.NO. 1-49, NIDAMARRU VILLAGE, MANGALAGIRI MANDAL, GUNTUR DISTRICT ...PETITIONER AND 1. THE STATE OF ANDHRA PRADESH, REPRESENTED BY ITS PRINCIPAL SECRETARY, MUNICIPAL ADMINISTRATION DEPARTMENT, A.P SECRETARIAT BUILDINGS, VELAGAPUDI, GUNTUR DISTRICT. 2. THE STATE OF ANDHRA PRADESH, REPRESENTED BY ITS PRINCIPAL SECRETARY, DEPARTMENT OF FINANCE AND PLANNING A.P SECRETARIAT BUILDINGS, VELAGAPUDI, GUNTUR DISTRICT. 3. THE ANDHRA PRADESH COMPREHENSIVE FINANCIAL SYSTEM CFMS, 6 FLOOR, C BLOCK, ANJANEYA TOWERS, IBRAHIMPATNAM, KRISHNA DISTRICT, REP. BY ITS CHAIRMAN. MANAGEMENT 4. THE COMMISSIONER AND DIRECTOR OF MUNICIPAL ADMINISTRATION, ANDHRA PRADESH AT TADEPALLI, GUNTUR 2 DISTRICT. 5. THE DIRECTORATE OF WORKS AND ACCOUNTS, FLOOR, C BLOCK, ANJANEYA TOWERS, IBRAHIMPATNAM, KRISHNA DISTRICT. REP. BY ITS DIRECTOR OF WORKS AND ACCOUNTS. 6. PAY AND ACCOUNTS OFFICER, WORKS AND ACCOUNTS, GUNTUR, 7. THE DISTRICT TREASURY OFFICER, GUNTUR DISTRICT. 8. THE MANGALAGIRI TADEPALLI MUNICIPAL, REP. BY ITS COMMISSIONER, MANGALAGIRI, GUNTUR DISTRICT. CORPORATION. . ...RESPONDENT(S): Counsel for the Petitioner: 1. SASANKA BHUVANAGIRI Counsel for the Respondent(S): 1. GP FOR MUNCIPAL ADMN URBAN DEV 2. A S C BOSE (SC FOR MUNICIPAL CORPORATIONS AP) 3. GP FOR FINANCE PLANNING The Court made the following: 3 THE HONOURABLE SRI JUSTICE NYAPATHY VIJAY WRIT PETITION NO.12560 of 2024 ORDER: 1. The present Writ Petition is filed questioning the action of the Respondent authorities in not paying the admitted amount of Rs.46,25,810/- due to the Petitioner even after finalizing the bills in relation to the works vide Agreement No.264/2023-24, dated 16.08.2023, as illegal and arbitrary. 2. A Counter Affidavit was filed on behalf of the Respondent No.8, wherein the execution of agreement and amount due to the Petitioner was admitted as it is stated at Paragraph No.10 that the amount due to the Petitioner could not be paid due to lack of special grant funds. 3. It is further stated that the Regional Vigilance & Enforcement Officer, Guntur is conducting enquiry on the works executed during the period from 2019-2024 and the vigilance report is awaited for taking further action on the recommendation of the Vigilance & Enforcement Department. 4. It is further stated that the Superintendent of Police & Regional Vigilance & Enforcement Officer, Guntur vide Roc.No.138/ 2024/ V&E/ ENGG/ DEE/ GNT, dated 09.08.2024 had informed the Director General & Ex-office Principal Secretary to Government, Vigilance & Enforcement Department, Andhra Pradesh, Vijayawada to conduct detailed enquiry on certain aspects pertaining to Mangalagiri Tadepalli Municipal Corporation and it was 4 requested to furnish the information relating to the works done 2019-2024 onwards. 5. Thereupon, the Vigilance & Enforcement Department has taken up verification on the works executed from 2019-2024 and the report is yet to be received, therefore the payments were not made apart from financial priorities of the Respondent-Corporation. 6. This Court after hearing the respective counsel is of the considered opinion that as there is no dispute to the execution of works and amount due to the Petitioner as apparent from Paragraph No.10 of the Counter Affidavit, the Petitioners in that scenario cannot be called upon to wait peremptorily for conclusion of vigilance enquiry to receive their rightful amounts. At the same time, this Court cannot foreclose the vigilance enquiry. 8. Therefore, a balance has to be maintained vis-à-vis the ongoing vigilance enquiry and Petitioners, whose execution of works and amounts due are not in dispute. Therefore, it would be appropriate to dispose of the Writ Petition with the following directions; (i) The Petitioner shall submit a security bond undertaking to reimburse the amount to the Respondent-Corporation, if any on account of deficiency in the work or excess payment is made by the Respondent-Corporation pursuant to the ongoing vigilance enquiry; (ii) On furnishing of security bond, the Respondent authorities are directed to pay the amount due to the Petitioner within a period of six (6) months from today; 5 (iii) No order as to costs. 9. 9. With the above observation, the Writ Petition is disposed of. 10. As a sequel, pending applications, if any, shall stand closed. __________________ NYAPATHY VIJAY, J Date: 07.07.2025 MSI 6 THE HONOURABLE SRI JUSTICE NYAPATHY VIJAY WRIT PETITION NO.12560 of 2024 Date: 07.07.2025 MSI