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2025 DAILYLAW 43863 (AP)

Sri. Lalitha Construction, v. THE STATE OF ANDHRA PRADESH

WP/6444/2025 · 2025-04-21

Sumathi Jagadam

body2025

Judgment text

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IN THE HIGH COURT OF ANDHRA PRADESH :: AMARAVATI (Special Original Jurisdiction) TUESDAY, THE TWENTY SECOND DAY OF APRIL TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SMT JUSTICE SUMATHI JAGADAM WRIT PETITION NO: 6444 OF 2025 Between: Sri. Lalitha Construction, Represented by its Managing Partner, K. Jagadeesh Reddy, S/o. K. Bhaskar Reddy, Age: 40 years, R/o. D.No. 8- Behind Soubhagya Hotel, Ravulapalem.DR. B.R. Ambedkar Konaseema District. 206 ...PETITIONER AND 1. The State of Andhra Pradesh, Rep. by its Principal Secretary, Irrigation Department, Secretariat Buildings, Velagapudi, Amaravati, Guntur District, Andhra Pradesh. 2. The State of Andhra Pradesh, Rep. by its Principal Secretary, Finance- Department, Secretariat Buildings, Velagapudi, Amaravati, Guntur District, Andhra Pradesh. 3. The District Collector (Irrigation Wing), Bhimavaram, West Godavari District. 4. The Superintending Engineer, Irrigation and Water Resource Department, Irrigation Circle, Eluru, Eluru District. 5. The Executive Engineer, Irrigation and Water Resource Department Drainage Division, Bhimavaram, West Godavari District. 6. The Pay and Account Officer, Eluru, Eluru 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 be pleased to issue an appropriate Writ, Order or direction may more 4 . r particularly one in the nature of Writ of Mandamus declare the inaction on part of the respondents herein not releasing the worth of Rs. 53,76,371/- total final bills amount for the work of 'Modernization of Godavari Western Delta Drainage System Gonteru Sub-Basin from KM. 38.600 to Km 50.680 (By Dredging) in Upputeru Basin in West Godavari District, under clause 60 (c) for the 46.930 to 48.680' vide its M. Book No. 2088 A/008, under Water Resource (Package No. 28/7/GDS/WG/2009-10) - Deleted reach from KM 48.680 to 50.180 and from Km Agreement No. 03 SE/2023-24, Dt. 22.07.2023 with Interest of execution of completion of works Department as per agreements to the petitioner till today and causing heavy loss with interest even though total works were completed as per the 14, 16, 21 of consequentially to direct the respondents amount worth of Rs. 53,76,371/- for execution of completion of works under Water Resource Department per agreement, to the petitioner forthwith. agreements as illegal, arbitrary and violation of Article Constitution of India and releasing the final bills of total as lA NO: 1 OF 202fi Petition under Section 151 CPC praying that in the circumstances Stated in the affidavit filed i - - in support of the petition, the High Court may be pleased to direct the respondents releasing the Final Bills of total amount worth of Rs. 53,76,371/-, for execution of completion of works under Water Resource Department as per agreement, to the petitioner forthwith. pending disposal of the above writ petition. Counsel for the Petitioner: SR! ANNAMNEEDI BALAKRISHNA Counsel for the Respondent Nos.1, 3 to 5: GP FOR IRRIGATION Counsel for the Respondent Nos.2 & 6:GP FOR FINANCE & PLANNING The Court made the following: ORDER &CAD APHC010124972025 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) 05B [3459] r TUESDAY, THE TWENTY SECOND DAY OF APRIL TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SMT JUSTICE SUMATHI JAGADAM WRIT PETITION NO: 6444/2025 Between: ...PETITIONER Sri. Lalitha Construction AND ...RESPONDENT(S) The State Of Andhra Pradesh and Others Counsel for the Petitioner: 1.ANNAMNEEDI BALAKRISHNA Counsel for the Respondent(S): 1.GP FOR IRRI AND CAD 2.GP FOR FINANCE PLANNING The Court made the following: ORDER: The present writ petition is filed under Article 226 of the Constitution of India seeking the following relief: “...to to issue an appropriate Writ, Order or direction more particularly one in the nature of Writ of Mandamus declare the inaction on part of the respondents herein not releasing the total final bills amount worth of Rs. 53,76,371/-, for the work of 'Modernization of Godavari Western Delta Drainage System Gonteru Sub-Basin from KM. 38.600 to Km 50.680 (By Dredging) in Upputeru Basin in West Godavari District. (Package No. '^y///(JUS/WG/2009-10) - Deleted under clause 60 48.680 to 50.180 and from Km 46.930 SE/2023-24, Dt. 22.07.2023, ; execution of completion of works under Water Resource (c) for the reach from KM to 48.680' vide its Agreement No. 03 M. Book No. 2088 A/008, with Interest of Department as per agreement, to the petitioner till today and causing heavy toss w,th interest even though total works were completed as per the agreements as illegal, arbitrary and violation of Article 14, 16, 21 of Constitution of India conseguentially to direct the respondents releasing the amount worth of Rs. 53,76,371/- for and final bills of total execution of completion of works under as per agreement, to the petitioner forthwith, and or orders may deem fit and Water Resource Department to pass such other order proper in the circumstances of the case. 2. In spite of adjourning the matter, the counter affidavit. respondents have not filed their 3. The case of the petitioner is that-the petitioner has participated i bids under E-procurement platform. The agreement \A/ith the petitioner vide 22.07.2023, for execution of works in the respondent has entered into an agreement No.03 SE/2023-24, dated relating to Modernization of Godavari Western Delta Drinage System Gonteru Sub-Basin from Km.38.600 to Km 50.680 (by dredging) in Upputeru Basin in West Godavari District. The respondent has issued measurement books and passed final bill for net amount of Rs.50.81.218/- petitioner has completed the work. The 5 4. Learned counsel for the petitioner submits borrowed amounts from third parlies to interest. Though the first and final bills paid to the petitioner. The learned counsel for the that the petitioner has execute the work and is paying huge were passed, the bills amount is not yet petitioner further submits that in similar circumstances, this Court in S. Srinivas Vs. State of Andhra Pradesh and others^ held as under; In the considered opinion of this Court, withholding the amount for which the petitioner is legitimately entitled is nothing but depriving the petitioner. Due to illegal action of non-payment of the amounts promptly by clearing the bills submitted by the petitioner after execution of works, the petitioner could not feed and see the welfare of his family properly and he could not make payments to his employees/workers and he could not make payments to the material suppliers and he has to pay interests for the debts incurred by him for execution of works. Due to this situation, petitioner’s respect and dignity in the society will be deteriorated. •21) K /\s such this Court holds that withholding the amount, for which the petitioner is legally entitled, is Illegal, arbitrary, and unjust and violative of Article 21 of the Constitution of India. 22) A larger bench of the Hon’ble Apex Court in Secretaiy, Irrigation Department, Government of Orissa and others V. G.C.Roy opinied as extracted hereunder: 24) “A person deprived of the use of money to which he is legitimately entitled has right to be compensated for the deprivation, call it by any name. It may be called interest, compensation or damages". The High Court of Andhra Pradesh in J.Devendra Reddy V Kakatiya University and another held that withholding of the amount payable to the petitioner for the contract works, constitutes patent arbitrariness on the part of the respondents. ’’ 25) This Court has observed that though the works were completed long 5. back and the bills were passed, the respondents have not released the amounts so far on the ground of insufficiency of funds. Since there is no dispute with regard to the execution of work and the bills amount, the respondents should pay the bills amount on "first done first paid” basis. 2021 Lawsuit (AP)390 X. I 6. In view of the foregoing discussion and in the light of the law laid down by this Court in S. Srinivas case referred supra, the Writ Petition of, with the following directions: is disposed i) The respondents are directed to clear the bills submitted by the petitioner and release the net amount of Rs.50,81,218/- in favour of the petitioner within twelve (12) weeks from the date of receipt of a copy of this order with interest at 12% p.a. ii) The interest shall be computed from the date of the date of submission of the bill by the petitioner till the date expiry of one month from of payment. There shall be no order as to costs. As a sequel, miscellaneous petitions pending, if any, shall stand closed. Sd/- G.HELA NAIDU //TRUE COPY// assistant REGISTRAR SEdrr^ OFFICER To 1. The Principal Secretary, Irrigation Department, State of Andhra Pradesh. Secretariat Buildings, Velagapudi, Amaravati, Guntur District, Andhra Pradesh. 2. The Principal Secretary, Finance Department, State .Secretariat Buildings, Velagapudi, Am Pradesh. 3. The District Collector (Irrigation Wing), Bhimavaram, West Godavari District. 4. The superintending Engineer, Irrigation and Water Resource Department, Irrigation Circle, Eluru, Eluru District. 5. The Executive Engineer, Irrigation and Water Resource Drainage Division, Bhimavaram, West Godavari District. of Andhra Pradesh aravati, Guntur District, Andhra Department 6. The Pay and Account Officer, Eluru, Eluru District 7. One CC to Sri Annamneedi Balakrishna, Advocate [OPUC; 8. Two CCs to GP for Irrigation and CAD, High Court of A.P. at Amaravati[OUT 9. Two CC’s to GP for Finance and Planning, High Court of A.P. at Amaravati[OUT] 10. Three CD Copies. . - 7 ssb 4£i' HIGH COURT DATED:22/04/2025 I 30 may 2025 \ ^ ^tnt Section f/Cj ORDER WP.No.6444 of 2025 DISPOSING OF THE W.P. WITHOUT COSTS