APHC010419612024 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3329] THURSDAY,THE TWENTY FIFTH DAY OF SEPTEMBER TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE VENKATESWARLU NIMMAGADDA WRIT PETITION NO: 21764/2024 Between: 1. THIRUMALA CONSTRUCTIONS, H.NO. 1/92-430,DWARAKA NAGAR, ANANTHAPURAM, ANANTHAPURAM DIST, REPRESENTED BY MANAGING PARTNER ANTHAPU SOMI REDDY, S/O ANTHAPU OBI REDDY, AGED ABOUT 40 YEARS, OCC. CONTRACTOR, D.NO. 1- 430, DWARAKA NAGAR, ANANTHAPURAM, ANANTHAPURAM DIST, ANDHRA PRADESH STATE-515001. ...PETITIONER AND 1. THE STATE OF ANDHRA PRADESH, REP. BY PRINCIPAL SECRETARY, PANCHAYAT RAJ DEPARTMENT AND RURAL DEVELOPMENT, SECRETARIAT BUILDINGS,VELAGAPUDI, GUNTUR DISTRICT, AMARAVATHI. 2. THE STATE OF ANDHRA PRADESH, REP. BY ITS PRINCIPAL SECRETARY, FINANCE AND PLANNING DEPARTMENT, SECRETARIAT BUILDINGS, VELAGAPUDI, GUNTUR DISTRICT, AMARAVATHI. 3. THE SUPERINTENDING ENGINEER, PANCHAYAT RAJ DEPARTMENT, ANANTHAPURAMU,ANANTHAPURAM DISTRICT. 4. THE EXECUTIVE ENGINEER, PR-PIU DIVISION, ANANTHAPURAMU, ANANTHAPURAMU DISTRICT. 5. THE DY EXECUTIVE ENGINEER, PRI SUB-DIVISION-11, ANANTHAPURAMU ANANTHAPURAM DISTRICT. 2 6. THE ASST EXECUTIVE ENGINEER, PIU, SUB-DIVISION, ANANTHAPURAMU, ANANTHAPURAMDISTRICT. ... ...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 topleased to issue a writ order or direction, more particularly one in the nature of writ of Mandamus, declaring the action of the respondent authorities in withholding the admitted amount even after finalizing the bills, payable to the petitioner in relation to the work i.e., for construction of double lane road from Ananthapuram - Tadipatri Road to Central University, Janthaluru (V), BukkarayaSamudramMandal, Ananthapuram District for an amount of Rs.3,90,47,113/- (Rupees Three Crores Ninety Lakhs Forty seven thousand one hundred and thirteen only) vide agreement 2023-2024 dated 05.02.2024 as the same is illegal, arbitrary and violation of principles of natural justice and violation of Article 14, 19 and 21 of the Constitution of India consequently direct the respondents to release of admitted amount Rs.3,90,47,113/- (Rupees Three Crores Ninety Lakhs Forty seven thousand one hundred and thirteen only) with interests to the petitioner firm and other reliefs 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 pleased to direct the respondents to consider for payment of Final Bill Rs.3,90,47,113/- (Rupees Three Crores NinetyLakhs Forty seven thousand one hundred and thirteen only) forthwith, pending disposal of the main writ petition and pass IA 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 may be pleased to grant Leave for filing of the Counter Affidavit in WP.No.21764 of 2024 and pass Counsel for the Petitioner: 1. DASARI S V V S V PRASAD Counsel for the Respondent(S): 3 1. KALYAN CHAKRAVARTHY R 2. GP FOR PANCHAYAT RAJ RURAL DEV 3. GP FOR FINANCE PLANNING The Court made the following: 4 THE HONOURABLE SRI JUSTICE VENKATESWARLU NIMMAGADDA WRIT PETITION NO: 21764/2024 ORDER: 1. The petitioner had been awarded the contract of work(s) under the subject scheme in Kurnool District. After execution of the said contract, a final bill was prepared for a sum of Rs.3,90,47,113/- as per the sanctioned orders. As the payment of the said amount has not been made by the respondents, the petitioner has approached this Court by way of this writ petition. 2. It is the contention of the petitioner that even though the respondents admitted that the petitioner is entitled for payment of the aforesaid sum of money, no payment is being made. The petitioner contends that such non- payment of money is clearly arbitrary and high-handed requiring the interference of this Court. 3. This Court, in various orders, including the judgment of a learned Single Judge of this Court dated 05.10.2021 in W.P.No.10038 of 2021 and batch had taken the view that such non-payment of dues is arbitrary and that such dues need to be cleared by the respondents at the earliest. 4. On the other hand, learned Standing Counsel for respondent No.5 filed counter-affidavit, wherein it is stated as follows: “It is submitted that the 1st & part bill for gross amount of Rs.4,28,35,843/- and net amount of Rs.3,90,47,113/- and deductions Rs.3,78,830/- was paid vide token No.2224- 9022507 and vide CFMS bill No.2024-1399406 dated 23.09.2024 submitted to the Pay and Accounts Officer, 5 Ananthapuramu for payment and further, the Pay & Accounts Officer, Ananthapuramu has passed the bill. It is submitted that the bill has been cancelled and returned by the end of the Financial Year 2024-2025. The bill has not able to re-submitted for payment due to lack of budget under the Head of Account 4202-02-105-11-16-530-531 VN of Higher Education grant. It is submitted that, a letter was addressed to the Superintending Engineer, Panchayat Raj, Ananthapuramu for obtaining grant under Head of Account 4202-02-105-11-16- 530-531 VN vide this office Lr.Rc.No.A1/PIU/ATP/Court Cases/2025, Dtd.30.04.2025, Dtd.30.05.2025, Dtd.29.07.2025 and for processing the bills in NIDHI portal vide this office Lr.Rc.No.A1/PIU/ATP/Court Cases/2025, Dtd.01.08.2025. Intern the Superintending Engineer, Panchayat Raj, Ananthapuramu has addressed a letter to the Secretary to Government, Higher Education Department, Andhra Pradesh Secretariat, Amaravathi on 02.08.2025 for release of grant to make payment to the contractor to avoid legal complications. The same is pending with the Higher Education Department. As and when, the Higher Education Department release the budget this respondent upload the bills as per the procedure.” 5. In view of the facts and circumstances submitted in the affidavit, and the directions of this Court in various cases and after hearing the submissions of learned counsel for the petitioner, this Writ Petition is disposed of with a direction to the respondents to release the amount of Rs.3,90,47,113/- to the petitioner. 6. As far as interest component is concerned, if there is any subsisting clause in the agreement/work order envisaging payment or non-payment of 6 interest upon any amount which is due and payable, the same is binding upon both the parties. In the absence of any clause with regard to interest component in the agreement, the respondents are directed to release the amount along with the interest @ 6% per annum on delayed payment, in view of the judgment of the Hon’ble Division Bench of this Court in Writ Appeal No.724 of 2021 and batch dated 12.10.2023 if not paid, within a period of six (06) months from the date of receipt of a copy of this order. It would also be open to the petitioner to agitate his claim for higher rate of interest, if any payable by the respondents, in an appropriate forum. There shall be no order as to costs. Consequently, Miscellaneous Petitions, if any, pending in this Writ Petition shall stand closed. _____________________________________ VENKATESWARLU NIMMAGADDA,J 25.09.2025 TPS 7 258 THE HONOURABLE SRI JUSTICE VENKATESWARLU NIMMAGADDA WRIT PETITION NO: 21764 OF 2024 25.09.2025 TPS