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2025 DAILYLAW 22189 (AP)

KML SOURCING SOLUTIONS v. THE STATE OF ANDHRA PRADESH

WP/15653/2025 · 2025-07-14

Kiranmayee Mandava

body2025

Judgment text

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I I APHC010311892025 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) TUESDAY,THE FIFTEENTH DAY OF JULY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SMT JUSTICE KIRANMAYEE MANDAVA WRIT PETITION NO: 15653 OF 2025 Between: KML Sourcing Solutions, Rep. by its Authorised Signatory, Dadi Kanaka Durga, W/o Dadi Ravikumar, Aged about 36 years, Regd. Office at D.No.49-54-15/1/4, Flat No. 101, Shree Keerthi Apartments, Chatrapati Street, Radhakrishna Layout, Visakhapatnam - 530013 Seethammadhara, ...Petitioner AND 1. The State Of Andhra Pradesh, Rep by its Principal Secretary, Industries and Commerce Department, A.P. Secretariat at Velagapudi, Amaravathi, Guntur District 2. A P Micro and Small Enterprises Facilitation Council MSEFC, Rep. by Commissioner, 8th Floor, APIIC Towers, Guntur-522503 3. The Union of India, Rep. by its Secretary, Enterprises (MSME) Departi Udyog Bhawan, Rafi Marg, New Delhi - 110011 4. KEC International Limited, Represented by its General Manager, RPG House, 1st Floor, 463, Dr Annie Besant Road, Worli, Mumbai - 400030 Autonagar, Mangalagiri, Micro, Small, Medium ...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 an appropriate Writ, order or direction mostly one which is in the nature of a Writ of Mandamus declaring the action of the Respondent No.2 in not disposing of the reference made by the Petitioner dated 16-10- 2024 under Section 18 of the Micro, Small, Medium Enterprises Development (MSMED) Act, 2006 as illegal, irregular, arbitrary, irrational, unjustified and unconstitutional and consequently direct the Respondent No.2 expeditiously dispose the reference made by the Petitioner under Section 18 of the Micro, Small, Medium Enterprises Development (MSMED) Act, 2006. to lA 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 to direct the Respondent No.2 to expeditiously dispose the reference made by the Petitioner dated 16-10-2024 under Section 18 of the Micro, Small, Medium Enterprises Development (MSMED) Act, 2006. Counsel for the Petitioner; SRI PRASAD ALAPATI Counsel for the Respondent No.1: GP FOR INDUSTRIES COMMERCE Counsel for the Respondent Nos.2 & 4: NONE APPEARED Counsel for the Respondent No.3: SRI PASALA PONNA RAO, ADDITIONAL SOLICITOR GENERAL OF INDIA The Court made the following order: APHC010311892025 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3458] TUESDAY,THE FIFTEENTH DAY OF JULY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SMT JUSTICE KIRANMAYEE MANDAVA WRIT PETITION NO: 15653/2025 Between: 1.KML SOURCING SOLUTIONS, REP. BY ITS AUTHORISED SIGNATORY, DADI KANAKA DURGA, W/0 DADI RAVIKUMAR, AGED ABOUT 36 YEARS, REGD. OFFICE AT D.NO.49-54-15/1/4, FLAT NO. 101, SHREE KEERTHI APARTMENTS, CHATRAPATI STREET, RADHAKRISHNA LAYOUT, VISAKHAPATNAM - 530013 SEETHAMMADHARA, ...PETITIONER AND 1.THE STATE OF ANDHRA PRADESH, REP BY ITS PRINCIPAL SECRETARY, INDUSTRIES AND COMMERCE DEPARTMENT, A.P. SECRETARIAT AT VELAGAPUDI, DISTRICT AMARAVATHI, GUNTUR 2.A P MICRO AND SMALL ENTERPRISES FACILITATION COUNCIL MSEFC, REP. BY COMMISSIONER, 8TH FLOOR, APIIC TOWERS, AUTONAGAR, MANGALAGIRI, GUNTUR-522503 3.THE UNION OF INDIA, REP. BY ITS SECRETARY, MICRO, SMALL, MEDIUM ENTERPRISES (MSME) DEPARTI UDYOG BHAWAN, RAFI MARG, NEW DELHI - 110011 4.KEC INTERNATIONAL LIMITED, REPRESENTED BY ITS GENERAL MANAGER, RPG HOUSE, 1ST FLOOR, 463, DR ANNIE BESANT ROAD, WORLI, MUMBAI - 400030 ...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 or direction mostly which is in the nature of a Writ of Mandamus declaring the action of the Respondent No.2 in not disposing of the reference made by the Petitioner dated 16-10-2024 under Section 18 of the Micro, Small, Medium Enterprises Development (MSMED) Act, 2006 as illegal, irregular, arbitrary, irrational, unjustified and unconstitutional and consequently direct the Respondent No.2 to expeditiously dispose the reference made by the Petitioner under Section 18 of the Micro, Small, Medium Enterprises Development (MSMED) Act, 2006 and pass lA 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 Respondent No.2 to expeditiously dispose the reference made by the Petitioner dated 16-10-2024 under Section 18 of the Micro, Small, Medium Enterprises Development (MSMED) Act, 2006 and pass Counsel for the Petitioner; 1. PRASAD ALAPATI Counsel for the Respondent(S): 1.GP FOR INDUSTRIES COMMERCE one The Court made the following: ORDER:- Heard Sri Prasad Alapati, learned counsel for the petitioner and learned Government Pleader for Industries and Commerce. The grievance of the petitioner is against the inaction of the 2^^ respondent in considering and disposing of the application of the petitioner dated 16.10.2024 for reference under Section 18 of the Micro, Small, Medium Enterprises Development (MSMED) Act, 2006. 2. 3. The petitioner is a Micro Enterprise registererj under the Mrcro, Deveiopment (MSMED) Act, 2006. The petitioner of motorways, streets, firm vide letter dated 08.05.2022 related to the construction of Rolling for Bhopal Metro Rail Project 4th respondent issued Letter of Intent ina works at Bhopal Depot Project, of Rs.54,49,307.45/-. Despite firm, the 4‘'^ respondent did not pay. Statement of Small, Medium Enterprises firm is involved in the construction and maintenance roads, highways, bridges, etc. The petitioner submitted quote with regard to the works Stock depot-cum-workshop at Subash Nagar (Package BH-06). Subsequently, the (LOI) for execution of piling and pile testing invoices were raised on 31.03.2023 to the tune repeated requests by the petitioner Seeking redressal of it’s grievances. Claims in Form-I under Section 18 of Micro, Small, Medium Enterprises Development (MSMED) Act, 2006 on received by the 2^^ respondent on been taken up for conciliation. 18 (2) and 18 (5) of Micro, Small, Medium Enterprises Development (MSMED) Act, 2006, which reads as follows; the petitioner submitted a 10.09.2024, The said application was the same has not 16.10.2024, however refer to the provisions under It is relevant to Section Mirm and Small Enterprises Sec.18. Reference to Farilitation Council: (V under sub-section (1), the Council shall seek the (2) On receipt of a reference itself conduct conciliation in the matter or centre providing alternate dispute either assistance of any institution or resolution services by making a reference to such an institution or and the provisions of sections 65 Conciliation Act, 1996 shall apply to for conducting conciliation centre, 81 of the Arbitration and to 4 V. such a dispute as if the conciliation was initiated under Part III of that Act. (3) (4) (5) Every reference made under this section shall be decided within a period of ninety days from the date of making such a reference.” In terms of the above provision, the 2^^ respondent is bound to conduct conciliation in the matter or to seek assistance of any institution or centre providing the alternative dispute resolution service by making a reference to such an institution or centre, for conducting conciliation. 4. In terms of the above provisions, since none of the steps have been taken by the 2^^ respondent, the writ petition is disposed of directing the 2^^ respondent to pass appropriate orders in accordance with law, in terms of Section 18 (2) of Micro, Small, Medium Enterprises Development (MSMED) Act, 2006. There shall be no order as to costs. 5. As a sequel, interlocutory applications, pending if any, shall stand closed. Sd/- K TATA RAO DEPUTY REGISTRAR //TRUE COPY// Section OFFICER To 1. The Principal Secretary, Industries and Commerce Department, A.P. Secretariat at Velagapudi, Amaravathi, Guntur District 2 The Commissioner, A P Micro and Small Enterprises Facilitation Council MSEFC, 8th Floor, APllC Towers, Autonagar, Mangalagiri, Guntur-522503 3. The Secretary, Union of India, Micro, Small, Medium Enterprises (MSME) Departi Udyog Bhawan, Rafi Marg, New Delhi -110011 4. The General Manager KEC International Limited, Represented by its, RPG Flouse, 1st Floor, 463, Dr Annie Besant Road, Worli, Mumbai - 400030 5. One CC to Sri. Prasad Alapati, Advocate [OPUC] 6. Two CCs to GP For Industries Commerce, High Court of Andhra Pradesh [OUT] 7. Two CD Copies. HIGH COURT DATED:15/07/2025 ORDER WP NO. 15653 OF 2025 I 15 SEP 2025 ^ . Current Section ^ m // t-ir Si DISPOSING OF THE W.P. WITHOUT COSTS