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2025 DAILYLAW 35277 (AP)

M VENKATESWARA RAO v. THE AP STATE CIVIL SUPPLIES CORPORATION LIMITED

WP/29101/2024 · 2025-01-07

Venkateswarlu Nimmagadda

body2025

Judgment text

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■> IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) TUESDAY, THE SEVENTH DAY OF JANUARY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE VENKATESWARLU NIMMAGAD WRIT PETITION NO: 29101 OF 2024 Between; M Venkateswara Rao, S/o. Seshaiah Transport Contractor, R/o. Flat No.501 Road, OPP: Iskcon Temple, Iskcon City, Nellore, SPSR Nellore District. ...PETITIONER aged about 53 years, Occ.Handling and Nandanam Apartment, 2""^ Right AND 1. The Andhra Pradesh State Civil Supplies Corporation Limited its Vice Chairman and Managing Director, Sri Sai Towers Kanuru Bandar Road, Vijayawada, Andhra Pradesh. 2. The State of Andhra Pradesh, Rep. by its Principal Secretary Food Civil Supplies and Consumer Affairs Department, Secretariate Buildings,Velagapaudi, Guntur District, Andhra Pradesh. 3. The Joint Collector and Ex.Officio Executive Director, A.P. State Civil Supplies Corporation Limited, Nellore, SPSR Nellore District, Andhra Pradesh. 4. The District Manager, A.P.Civil Supplies Corporation Limited SPSR Nellore District, Andhra Pradesh. Rep. by Ashok Nagar, Nellore, ...RESPONDENTS Petition under Article 226 of the Constitution of India in the circumstances stated praying that in the affidavit filed therewith, the High Court may be pleased to issue an appropriate writ, order or direction, more particularly one in the nature of Mandamus, declaring the of the respondents in action not releasing the pending dues to the petitioner towards the completed contracts of Gunnies Handling, Gunnies transport. Rice handling. Wagon rice transport, buffer handling and paddy transportation, including refund of Security Deposits and Bank guarantees, for various periods, which is altogether an amount of Rs. 14,87,72,688/-, in spite of my representation dt 01.11.2024, as being illegal, arbitrary, violative to Articles, 14, 19 and 21 of the Constitution of India, and also opposed to the settled principles of law, and consequently direct the respondents to forthwith release the pending due amount of Rs. 14,87,72,688/- to the petitioner, and to pass lA NO: 1 OF 2024 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 1st respondent to consider the representation dt; 01.11.2024 submitted by the petitioner to clear the pending bills as stated therein by duly passing necessary and appropriate orders in accordance with law. IV Counsel for the Petitioner:SRI. RAVULA NAGARJUNA Counsel for the Respondent Nos.1 and 4 : GP FOR CIVIL SUPPLIES Counsel for the Respondent 2 and 3: P HEMA CHANDRA (SC FOR CIVIL SUPPLIES CORP LTD) The Court made the following: ORDER APHC010557892024 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3329] TUESDAY ,THE SEVENTH DAY OF JANUARY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE VENKATESWARLU NIMMAGADDA WRIT PETITION NO: 29101/2024 Between: ...PETITIONER M Venkateswara Rao AND ...RESPONDENT(S) The Ap State Civil Supplies Corporation Limited and Others Counsel for the Petitioner: 1.RAVULA NAGARJUNA Counsel for the Respondent(S): 1.P HEMA CHANDRA (SC FOR CIVIL SUPPLIES CORP LTD) The Court made the following: ORDER: The present writ petition is filed aggrieved by the action of the respondents in not releasing the pending dues to the petitioner towards the completed contracts of gunnies handling, gunnies transport, rice handling, wagon rice transfer, etc, including refund of Security Deposits and Bank 1. Guarantees bill amounting to Rs.14,87,72,688/-. Learned counsel for the petitioner submits that the petitioner has 2. entered into various agreements with the respondents under various Agreements for the works in Kavali and Nellore Divisions and he completed the work as per the agreements. The amount for execution of work was paid to the petitioner, but the Deposit amounts were not released. The petitioner has approached the respondents several times for reimbursement of the said Deposits. As the respondents have failed to release the Deposit amounts, the petitioner is seeking a direction to the respondent authorities for release of the said Deposits. Learned Government Pleader for A.P. Civil Supplies Corporation filed 3. counter affidavit on behalf of Respondent Nos.1, 3 & 4. He would submit that, the petitioner has mentioned bill wise dues to be received from APSCSCL to the extent of Rs. 14,87,72,688/-. As verified from the records of the Corporation at Nellore, the bills to an extent of Rs.4,35,71,045 /- pertaining to the year 2020-21 were cleared by the 3'"'^ respondent - Joint Collector & EO ED at District Office Level and proposals were submitted to Head Office for arranging the payment in the month of January, 2024. Further, the bills valuing Rs.4,57,39,707/- pertaining to the year 2021-22 have been scrutinized and kept ready to obtain eh approval of 3"^ respondent - Joint Collector & EO before sending the proposals to respondent, for arranging payment. The petitioner has mentioned an amount of Rs. 1,43,76,007/- as due on account of Security Deposits and the question of releasing the same would arise only after settlement of all his pending bills. Likewise, an amount of Rs.67,50,000/- towards Bank Guarantee, mentioned by the petitioner is not liable to be paid to him in cash but the Bank Guarantee would be returned after settlement of Bills. 4. It is further submitted that, the petitioner submitted representations for releasing for payments of pending bills. Basing on his representation, the VC & Managing Director has sought clarification from the ACB for disbursement of eligible amounts by writing a letter dated 23.09.2024. In response to the said letter, ACB did not give any clarification about petitioner’s role in the criminal case and requested to dismiss the writ petition. Heard the learned counsel for the petitioner and learned counsel for the 5. respondents. Keeping in view facts and circumstances of the case, submissions made by both learned counsel and on perusing the material placed on record, as there is no justification in withholding the Security Deposits, even after completion of the work allotted by the respondents. Hence, this Court deems it 6. appropriate to direct the respondents to release the admitted amount of (Rs.4.35,71,045/- + Security Deposit amount of Rs. 11,04,36,759/- Rs.4 57,39,707/- + Rs.1,43,76,007/- + Rs.67,50,000/-) due to the petitioner for the last several months. It would also be open to the petitioner to agitate his claim for differential amount and higher rate of interest, if any payable by the respondents, in an appropriate forum. There shall be no order as to costs. 6. In the result, this Writ Petition is disposed of, directing the respondents to release the Withheld Security Deposit amounts of Rs. 11,04,36,759/- to the petitioner within a period of three (03) months from the date of receipt of a copy of this order. There shall be no order as to costs. 7. Consequently, Miscellaneous Petitions, if any, pending in this Writ Petition shall stand closed. SURYANADHA REDDY DEPUTV REGISTRAR S^eTloNt)^CER Sd/-Wl //TRUE COPY// To 1. Vice Chairman and Managing Director, The Andhra Pradesh State Civil Supplies Corporation Limited, Sri Sai Towers, Ashok Nagar, Kanuru Bandar Road, Vijayawada, Andhra Pradesh. 2. Principal Secretary Food Civil Supplies and Consumer Affairs Department, The State of Andhra Pradesh, Secretariate Buildings,Velagapaudi, Guntur District, Andhra Pradesh. 3. The Joint Collector and Ex.Officio Executive Director, A.P. State Civil Supplies Corporation Limited, Nellore, SPSR Nellore District, Andhra Pradesh. 4. The District Manager, A.P.Civii Supplies Corporation Limited, Nellore, SPSR Nellore District, Andhra Pradesh. 5. One CC to SRI. RAVULA NAGARJUNA Advocate [OPUC] 6. Two CCS to GP FOR CIVIL SUPPLIES. High Court of Andhra [OUT] 7. One CC to SRI. P HEMA CHANDRA (SC FOR CIVIL SUPPLIES LTD) Advocate [OPUC] 8. Three CD Copies Pradesh CORP BHB HIGH COURT DATED:07/01/2025 ORDER K5 2 2 JAN 2025 | . Current Section Si^SPATCV^^^^^ o WP.No.29101 of 2024 DISPOSING THE WP WITHOUT COSTS