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2025 DAILYLAW 43873 (AP)

SREE SRINIVASA DEVELOPERS v. THE STATE OF ANDHRA PRADESH

WP/25529/2024 · 2025-04-21

Sumathi Jagadam

body2025

Judgment text

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APHC010492172024 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3459] TUESDAY, THE TWENTY SECOND DAY OF APRIL TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SMT JUSTICE SUMATHI JAGADAM WRIT PETITION NO: 25529/2024 Between: 1. SREE SRINIVASA DEVELOPERS, REP.BY ITS MANAGING PARTNER, B VENKATA REDDY, S/O PERI REDDY. AGE 49 YEARS, OCC- CONTRACTOR, R/O. 1-238, BANK BAZAR, NAKARIKALLU, PALNADU DISTRICT. ...PETITIONER AND 1. THE STATE OF ANDHRA PRADESH, REP BY ITS PRINCIPAL SECRETARY, WATER RESOURCE DEPARTMENT, SECRETARIAT BUILDINGS, AT VELAGAPUDI, AMARAVATI, GUNTUR DISTRICT. 2. THE STATE OF ANDHRA PRADESH, REP. BY ITS PRINCIPAL SECRETARY, DEPARTMENT OF FINANCE AND PLANNING, SECRETARIAT BUILDINGS, VELAGAPUDI, AMARAVATI, GUNTUR DISTRICT 3. THE EXECUTIVE ENGINEER, WATER RESOURCES DEPARTMENT, NSJC MONITORING DIVISION, LINGAMGUNTLA, PALNADU DISTRICT. 4. THE DIRECTOR, PAY AND ACCOUNTS, FINANCE DEPARTMENT, ANJANEYA TOWERS, IBRAHIMPATNAM, VIJAYAWADA, KRISHNA DISTRICT. 5. PAY AND ACCOUNT OFFICER PAO, WORKS AND ACCOUNTS, VIJAYAWADA, KRISHNA DISTRICT. 2 JS,J W.P.No.25529/2024 ...RESPONDENT(S): 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, order or direction more particularly one in the nature of a Writ of Mandamus or any other appropriate Writ, Direction or Order questioning the action of the respondents in not paying admitted bills an amount of Rs.29,25,977/- to the petitioner towards the work Essential repairs to Canal Banks such as filling of Scoured portions and Repairs to inspection path from Km 77.675 to Km 79.775 on Nagarjuna Sagar Jawahar Canal under the agreement 24-EE/2022-23, dated 18.06.2020 even after finalizing the Bill, as illegal and arbitrary and violative of articles 14, 16 and 21 of constitution of India and consequentially direct the respondents to pay above said bills to petitioner forthwith and pass IA 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 may be pleased to direct the respondents to pay the admitted bills for an amount of Fis.29,25,977/- to the petitioner towards the work Essential repairs to Canal Banks such as filling of Scoured portions and Repairs to inspection path from Km 77.675 to Km 79.775 on Nagarjuna Sagar Jawahar Canal under forthwith, pending disposal of Writ Petition, and to pass Counsel for the Petitioner: 1. GOUTHAMI SURAPAREDDY Counsel for the Respondent(S): 1. GOUTHAMI SURAPAREDDY Counsel for the Respondent(S): 1. GP FOR IRRI AND CAD 2. GP FOR FINANCE PLANNING 3 JS,J W.P.No.25529/2024 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 issue a writ of mandamus or any other appropriate writ or direction declaring the action of the Respondents in not paying admitted bills an amount of Rs.29,52,977/- to the petitioner towards the work “Essential repairs to Canal Banks such as filling of Scoured portions and Repairs to inspection path from Km 77.675 to Km 79.775 on Nagarjuna Sagar Jawahar Canal” under the agreement 24-EE/2022-23, dated 29.12.2022 even after finalizing the Bill, as illegal and arbitrary and violative of articles 14, 16 and 21 of Constitution of India and consequentially direct the respondents to pay above said bills to petitioner forthwith and pass such other order or orders may deem fit and proper in the circumstances of the case.” 2. In spite of adjourning the matter several times, the respondents have not filed their counter affidavit. 3. The case of the petitioner is that the petitioner has participated in the tender process and the 3rd respondent has entered into an agreement with the petitioner vide agreement No.24-EE/2022-23, dated 29.12.2022, for execution of works relating to Essential repairs to Canal Banks such as filling of Scoured portions and Repairs to inspection path from Km 77.675 to Km 79.775 on Nagarjuna Sagar Jawahar Canal. The petitioner has completed the work. The 3rd respondent has issued measurement book and passed final bill for an amount of Rs.29,25,977/-. 4. Learned counsel for the petitioner submits that the petitioner has borrowed amounts from third parties to execute the work and is paying huge interest. Though the first and final bills were passed in the year 2023, the bills 4 JS,J W.P.No.25529/2024 amount is not yet paid to the petitioner even after lapse of two years. The learned counsel for the petitioner further submits that in similar circumstances, this Court in S. Srinivas Vs. State of Andhra Pradesh and others1 held as under: “21) 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. 22) As 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. 24) A larger bench of the Hon’ble Apex Court in Secretary, Irrigation Department, Government of Orissa and others V. G.C.Roy opinied as extracted hereunder: “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”. 25) 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.” 5. This Court has observed that though the works were completed long back and the bills were passed, the respondents have not released the 1 2021 Lawsuit (AP)390 5 JS,J W.P.No.25529/2024 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. 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 is disposed of, with the following directions: i) The respondents are directed to clear the bills submitted by the petitioner and release an amount of Rs.29,25,977/- in favour of the petitioner within eight (8) 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 expiry of one month from the date of submission of the bill by the petitioner till the date of payment. There shall be no order as to costs. As a sequel, miscellaneous petitions pending, if any, shall stand closed. __________________________ JUSTICE SUMATHI JAGADAM Date: 22.04.2025 KAS 6 JS,J W.P.No.25529/2024 182 THE HONOURABLE SMT JUSTICE SUMATHI JAGADAM WRIT PETITION NO.25529 of 2024 Date: 22.04.2025 KAS