/ ■ 'J / APHC010250532024 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) FRIDAY,THE FOURTH DAY OF JULY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE NYAPATHY VIJAY WRIT PETITION NO: 12547 OF 2024 /" Between: M/s 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 villag Mangalagiri mandal, Guntur District ...Petitioner ^ AND 1. The State of Andhra Pradesh, Represented by its Principal Secretary Municipal Administration Department^ Velagapudi,Guntur District. 2. The State of Andhra Pradesh, Represented by its Principal Secretary, Department of Finance and Planning Velagapudi, Guntur District. 3. The Andhra Pradesh Comprehensive Financial System CFMS, 6th floor, C block, Anjaneya Towers, Ibrahimpatnam, Krishna District, Rep. By its Chairman. 4. The Commissioner and Director of Municipal Administration, Andhra Pradesh at Tadepalli, Guntur District. A.P Secretariat buildings A.P Secretariat buildings 5. The Directorate of Works and Accounts, 3rd 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 corporation, .Rep. By its Commissioner, Mangalagiri, Guntur 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 or direction more particularly one in the nature of Writ of Mandamus declaring the action of the respondents in not paying the admitted due amount of Rs. 44,84,877/- (Forty four lakhs eighty four thousand eight hundred and seventy seven) payable to petitioner in relation to work namely “MTMC- Providing CC Drain From 1) Mandepudi Nageswarao (H) (D.No6-148/A) To Karry Mariyadasu (H)(D.No6-123) & Mandepudi Shekhar (D.No6-130) To Karry Mariyadasu (H)(D.No6-123), Inter Road 2) From Bhimavarapu Seshireddy (D.No6-184) Nageswarao{D.No4-50) and Janga Kotireddy (D.No 1.121) To Chinna High School 3) Vuyyuru Narasimhareddy (D.No4- 110) To Bontha Gopiraj (H)(D.No4-110) and To Gairuboyina Gade Sivareddy (Back Side)(H) (D.No4-62) To Kurra Venkaiah(H)(D.No4-78) in Nidamarru (V) of Mangalagiri Tadepalli Municipal Corporation under special grant funds”, executed for 8‘^ respondent by it, 16-08-2023 despite under agreement Bearing No. 265/2023-24 dated finalizing the bills, as illegal, arbitrary, direct the respondents herein to immediately pay the due amount of Rs unconstitutional and consequently 44,84,877/- (Forty four lakhs eighty four thousand eight hundred and seventy seven) payable to petitioner in relation the above work executed for 8**' respondent under the said agreements with an interest @ 12 percent per annum. lA NO: 1 OF Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court direct the respondents herein to release the may be pleased to due amount of Rs. 44,84,877/- (Forty four lakhs eighty four thousand eight hundred and seventy seven) payable to petitioner in relation to work namely “MTMC- Providing CC Drain From 1) Mandepudi Nageswarao (H) (D.No:6-148/A) To Karry Mariyadasu (H)(D.No:6-123) & Mandepudi Shekhar (D.No:6-130) To Karry Mariyadasu (FI)(D.No.6-123), otter Road 2) From Bhimavarapu Seshireddy (D.No:6-184) To Gairuboyina Nageswarao(D.No:4-50) & Janga Kotireddy (D.No: 1.121) To Chinna High School 3) VuyuruNarasimhareddy (D.No;4- 110) To Bontha Gopiraj (H)(D.No;4-110) & Gade Sivareddy (Back Sidc)(H) {D.No:4-62) To Kurra Veukaiah(H)(D.No:4. 78) in Nidamarru (V) of Mangalagiri Tadepalli Municipal Corporation under special grant funds”, executed for 8*' respondent by it, under agreement Bearing No. 265/2023-24 stipulated time frame. dated 16-08-2023, within a Counsel for the Petitioner: SRI SASANKA BHUVANAGIRI Counsel for the Respondent Nos.1 & 4: URBAN DEV. Counsel for the Respondent No.8: SRI A S C BOSE CORPORATIONS AP) Counsel for the Respondent No.2, 3, 5, 6, 7; GP FOR FINANCE AND PLANNING GP FOR MUNCIPAL ADMN. AND (SC FOR MUNICIPAL The Court made the following order: APHC010250532024 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3460] FRIDAY, THE FOURTH DAY OF JULY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE NYAPATHY VIJAY WRIT PETITION NO: 12547/2024 Between; 1.M/S KION PROJECTS AND INDUSTRIES., FIRM NO. 208 OF 2019 VILLA NO. 190, RAMAKRISHNA TOWNSHIP, NEAR ACHARYA NAGARJUNA UNIVERSITY, GUNTUR DISTRICT. REP. BY ITS MANAGING PARTNER, BOLLA VISHNUVARDHANA REDDY, S/0 B. NAGI REDDY, AGED ABOUT 37 R/0 H.NO. 1-49, NIDAMARRU VILLAG MANGALAGIRI MANDAL, GUNTUR DISTRICT NAMBURU, ...PETITIONER AND 1.THE STATE OF ANDHRA PRADESH, REPRESENTED BY ITS PRINCIPAL SECRETAIY, ADMINISTRATION. DEPARTMENT, BUILDINGS, VELAGAPUDI, GUNTUR DISTRICT. MUNICIPAL A.P SECRETARIAT 2.THE STATE OF ANDHRA PRADESH, REPRESENTED BY ITS PRINCIPAL SECRETARY, DEPARTMENT OF FINANCE AND PLANNING VELAGAPUDI, GUNTUR DISTRICT. 3.THE ANDHRA PRADESH COMPREHENSIVE FINANCIAL SYSTEM CFMS, 6TH FLOOR, C BLOCK, ANJANEYA TOWERS, IBRAHIMPATNAM, KRISHNA DISTRICT, REP. BY ITS CHAIRMAN. MANAGEM A.P SECRETARIAT BUILDINGS, 2 4.THE COMMISSIONER AND DIRECTOR OF MUNICIPAL ADMINISTRATION, ANDHRA PRADESH AT TADEPALLI, GUNTUR DISTRICT. 5.THE DIRECTORATE OF WORKS AND ACCOUNTS, 3RD 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 CORPORATION, .REP. BY ITS COMMISSIONER, MANGALAGIRI, GUNTUR DISTRICT. MUNICIPAL ...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: p THE HONOURABLE SRI JUSTICE NYAPATHY VIJAY WRIT PETITION N0.12547 of 2024 ORDER: 1. The present Writ Petition is filed questioning the action of the Respondent authorities in not paying the admitted amounts of Rs.44,84,877/- due to the Petitioner even after finalizing the bills in relation to the works vide Agreement No.265/2023-24, dated 16.08.2023, as illegal and arbitrary. A Counter Affidavit was filed on behalf of the Respondent No.8, wherein the execution of agreements and amounts due to the Petitioner was admitted as it is stated at Paragraph No.5 that the amounts due to the Petitioner could not be paid due to lack of general funds. 2. 3. Further, it was stated that the Mangalagiri Tadepalli Municipal Corporation has undertaken many works during the previous financial years i.e. 2022-23 & 2023-24, but bills were not paid due to certain lapses, which have been taken in execution of works. Therefore, to observe the lapses in works executed, the Commissioner, Additional Commissioner & Deputy Commissioner of Mangalagiri Tadepalli Municipal Corporation have inspected physically certain works and identified in the preliminary execution of 2 works specifically in categories of CC Roads, CC Drains, BT Roads and road widening and STP works. It is further stated that the Government has been requested to release 2^^ installment of Special Grant of Rs.74.07 crores tomake 4. payment to the contractors vide Letter in Roc.No. 1295/E 1/2022 dated 16.10.2023 and the Government has issued Budge release order for the said amount vide G.O.Rt.No.1168, Finance (FMU-EFS MA & UD, CRDA) Department, dated 16.03.2024, G.O.Rt.No.345, MA & UD (BUDGET) Department, dated 24.03.2024 & T and G.O.Rt.No.361 MA & UD (BUDGET) Department, dated 29.03.2024 towards payment to the extent of completed works in Mangalagiri Tadepalli Municipal Corporation. But, said funds have not been adjusted. It is further stated that the Superintendent of Police & Regional Vigilance & Enforcement Officer, Guntur vide Roc.No. 138/ 2024/ 5. V&E/ ENGG/ DEE/ GNT, dated 09.09.2024 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 requested to furnish the information relating to the works done 2019-2024 onwards. 3 6. 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. 7. This Court after hearing the respective counsel is of the considered opinion that as there is no dispute to the execution of works and amounts due to the Petitioner as apparent from i Paragraph No.5 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-a-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; 4 (ii) On furnishing of security bond, the Respondent authorities are directed to pay the amounts due to the Petitioner within a period of six (6) months from today; (iii) No order as to costs. With the above observation, the Writ Petition is disposed of. 9. As a sequel, pending applications, if any, shall stand closed. babu ASSISTANT REGISTRAR 10. //TRUE COPY// SEC■^iWoFEICER To 1- The Principal Secretary, State of Andhra Administration Department, Guntur District. 2. The Principal Secretary, Stale of Andhra Pradesh, Finance and Planning, A.P Secretariat District. 3. The Chairman, Andhra CFMS, 6th floor, C block, District. Pradesh, Municipal A.P Secretariat buildings, Velagapudi, Department of buildings, Velagapudi, Guntur Pradesh Comprehensive Financial Anjaneya Towers, Ibrahimpatnam System Krishna 4. The Commissioner and Director of Municipal Administration, Andhra Pradesh at Tadepalli, Guntur District. 5. The Director of Works and Accounts, Directorate C block, Anjaneya Towers, of Works and Ibrahimpatnam, Accounts, 3rd floor, Krishna District. 6. and Accounts Officer, Works and Accounts, Guntur T The District Treasury Officer, Guntur district, 8. The Commissioner, Mangalagiri Tadepalli Municipal Mangalagiri, Guntur district. corporation, 9. One CC to SRI. SASANKA BHUVANAGIRI, Advocate [OPUC] 10.Two CCs to GP FOR MUNCIPAL ADMN. AND URBAN DEV., High Court of Andhra Pradesh [OUT] 11. One CC to SRI. A S C BOSE, STANDING COUNSEL FOR MUNICIPAL CORPORATION [OPUC] 12.TWO CCs to GP FOR FINANCEAND PLANNING, High Court of Andhra Pradesh [OUT] 13. Two CD Copies SREE HIGH COURT DATED:04/07/2025 ORDER WP NO. 12547 OF 2024 SS DISPOSING OF THE W.P. WITHOUT COSTS 5( H AUG 2025