APHC010437242021 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3460] MONDAY, THE TWENTY EIGHTH DAY OF APRIL TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE NYAPATHY VIJAY WRIT PETITION NO: 26762/2021 Between: 1. M/S.IMPERIAL COASTAL INFRA, (FORMERLY KNOWN AS M/S.COASTAL ENGINEERING CONSTRUCTIONS REP.BY ITS MANAGING PARTNER KOTHAPALLISUBBA RAJU S/O.STAYANARAYANA RAJU, AGED ABOUT 57 YEARS PLOT NO.45/ A, SANTOSHNAGAR COLONY, MEHDIPATNAM, HYDERABAD, TELANGANA ...PETITIONER AND 1. THE STATE OF ANDHRA PRADESH, REP.BY ITS PRINCIPAL SECRETARY MUNICIPAL ADMINISTRATION AND URBAN DEVELOPMENT DEPARTMENT SECRETARIAT BUILDINGS, VELAGAPUDI AMARAVATI, GUNTUR DISTRICT. 2. THE COMMISSIONER, GREATER VISAKHAPATNAM MUNICIPAL CORPORATION VISAKHAPATNAM, ANDHRA PRADESH 3. THE CHIEF ENGINEER, GREATER VISAKHAPATNAM MUNICIPAL CORPORATION VISAKHAPATNAM, ANDHRA PRADESH ...RESPONDENT(S): 2 Counsel for the Petitioner: 1. SHANTHASREE ELIPE Counsel for the Respondent(S): 1. A S C BOSE (SC FOR MUNICIPAL CORPORATIONS AP) 2. GP FOR MUNCIPAL ADMN URBAN DEV The Court made the following: 3 HON’BLE SRI JUSTICE NYAPATHY VIJAY WRIT PETITION No.26762 of 2021 ORDER: 1. The present Writ Petition is filed to declare the action of the Respondents in not implementing the Government Orders vide G.O.Ms.No.214, MA & UD (UBS) Department, dated 29.05.2017 issued by the Respondent No.1 directing the Respondent No.2 to pay additional expenditure of Rs.1.20 crores to the Petitioner for completing the construction work, as illegal, arbitrary and contrary to the provisions of A.P. Municipal Corporation Act, 1955. 2. The facts leadings to filing of the present Writ Petition are as follows:- A tender notice was issued on 08.01.2008 calling for construction of 896 houses (Units) in 28 blocks in (G+3) pattern in Sy.No.38/2 of Vadlapudi Village, Gajuwaka Mandal in Visakhapatnam in GVMC limits under the Jawaharlal Nehru National Urban Renewal Mission (JNNURM) Scheme. The Petitioner participated in the tender, the Petitioner’s bid was accepted on 24.01.2008 and an amount of Rs.1248.44 lakhs was sanctioned. An agreement was also executed to that effect on 20.02.2008. 4 3. While the Petitioner was proceeding with the construction work, the Respondent No.2 vide Proceedings Memo No.1278/GVMC/ JNNURM/CE/SE (P-1) EE (PD-IV) dated 06.08.2007 shifted the site of work to Mantripalem from Vadlapudi and the work period was extended upto 19.11.2008. The Petitioner completed the work within the stipulated time i.e. construction of 800 units in 25 blocks and handed over the same to the concerned. 4. As the work site was shifted to Matripalem from Vadlapudi, the unit cost was enhanced due to various factors and the price was required to be re-adjusted in terms of G.O.Ms.No.94 and G.O.Ms.No.35. 5. As the differential amount was not being considered, the Petitioner filed W.P.No.31798 of 2015 for releasing the differential amount. Thereafter, pursuant to the detailed report submitted by the Respondent No.2, the Respondent No.1 issued G.O.Ms.No.214, MA & UD (UBS) Department, dated 29.05.2017 to release the revised administrative sanction of Rs.14,40,00,000/- as against the sanctioned amount of Rs.13,20,00,000/- towards construction of 800 units under the Jawaharlal Nehru National Urban Renewal Mission (JNNURM) Scheme. Despite issuance of G.O.Ms.No.214, MA & UD 5 (UBS) Department, dated 29.05.2017, the Respondent No.2 was not paying the amount to the Petitioner and it was in that context the present Writ Petition is filed seeking for enforcement of G.O.Ms.No.214, MA & UD (UBS) Department, dated 29.05.2017. 6. A Counter Affidavit is filed by the Respondent Nos.2 and 3 stating that the Respondent-Corporation is willing to pay difference amount of Rs.1.20 crores from the General Funds to the Petitioner as per G.O.Ms.No.214, MA & UD (UBS) Department, dated 29.05.2017 and sought reasonable time. 7. Heard Sri K. Janaki Rami Reddy, learned Senior Counsel appearing for Smt. Shantha Sree Elipe, learned counsel for the Petitioner and Sri A.S.C. Bose, learned Standing Counsel for the Respondent-Corporation. 8. Having heard the respective counsel, this Court opines as under: To start with, there is no explanation from the Respondent No.2 for the delay in payment in spite of there being a specific G.O to that effect. In a similar Project was taken up by M/s Ramky Infrastructure Ltd., and another for construction of 2176 houses (Units) in 68 blocks in (G+3) pattern in Sy.No.176 in Ward No.55, 6 Madeenabagh Village in Pedagantyada Mandal in GVMC limits under JNNURM Scheme, an application was filed seeking for enhancement of the cost of the contract. After examining the same, the Respondent No.1 had issued G.O.Ms.No.215, MA & UD (UBS) Department, dated 29.05.2017 for enhancing the contract value directing the Respondent No.2 to pay an amount of Rs.4,14,91,532/- to M/s Ramky Infrastructure Ltd. 9. As the amounts were not being paid by the Respondent No.2, W.P.No.21639 of 2018 was filed before this Court and that the same was allowed by this Court directing payment with interest @ 12% p.a. from the date of G.O.Ms.No.215, MA & UD (UBS) Department, dated 29.05.2017 till payment. The relevant portion of the order is extracted below: “12. In the result, the Writ Petition is allowed directing the 2nd respondent to pay to the petitioners, Rs.4,14,91,532/- (Rupees Four Crores Fourteen Lakhs Ninety One Thousands Five Hundreds and Thirty Two only), with interest at 12% per annum from 29.05.2017, till the date of payment.” 10. The Division Bench of this Court affirmed the same in W.A.No.116 of 2019 on 26.11.2019. 7 11. As the issue in this case in squarely covered by the above Judgments of this Court, the Petitioner is also entitled for similar relief. 12. Accordingly, the Writ Petition is allowed directing the Respondent No.2 to pay an amount of Rs.1.20 crores to the Petitioner with interest at the rate of 12% p.a. from 29.05.2017 till the date of payment. There shall be no order as to costs. As a sequel, pending applications, if any, shall stand closed. __________________ NYAPATHY VIJAY, J Date: 28.04.2025 IS 8 HON’BLE SRI JUSTICE NYAPATHY VIJAY WRIT PETITION No.26762 of 2021 Date: 28.04.2025 IS