Extracted from the PDF above. The PDF is authoritative.
APHC010042102025
IN THE HIGH COURT OF ANDHRA PRADESH :: AMARAVATI (Special Original Jurisdiction) THURSDAY, THE THIRD DAY OF APRIL TWO THOUSAND AND TWENTY FIVE [3459]
PRESENT
THE HON'BLE SMT. JUSTICE SUMATHI JAGADAM
WRIT PETITION No.2263 OF 2025
Between:
Sri Kalluru Niranjan Reddy
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Petitioner
and
The State of A.P., Rep. by its Principal Secretary, Finance & Planning Department, Secretariat, Velagapudi, Amaravati, Guntur District and 4 others
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Respondents
Counsel for the petitioner : Sri T. Nagarjuna Reddy
Counsel for the respondents : G.P. for Revenue G.P for Irrigation & CAD
G.P for Finance and Planning
The Court made the following ORDER:
This Writ Petition, under Article 226 of the Constitution of India, is filed by the petitioner seeking the following relief:
“………..to issue Writ or Order or a direction, more in the form of writ of mandamus, declaring the action of the Respondents in not making payment of Rs.12,07,199/- (Rupees Twelve Lakhs Seven Thousand and One Ninety Nine Only) to the petitioner for the execution of “Restoration of Damaged SP at KM.43.080 near
JS,J WP No.2263/2025
2 Ulimella Village of Pulivendula Mandal” vide Ag No.29EE/2022- 23 dated 23.06.2022, as highly illegal, irregular, arbitrary, unreasonable, unjustified, unfair and in violation of the Articles 14, 19 and 21 of the Constitution of India and consequently direct the Respondents to make the payment of aforementioned amount forthwith along with interest @ 24% P.A. to the petitioner and pass such other order or orders as this Hon’ble Court may deem fit and proper in the interest of justice and …………”
2. The case of the petitioner, in brief, is that he has participated in the tender process and stood as successful bidder. The 4th respondent has entered into an agreement with the petitioner vide agreement No.29 EE/2022-23, dated 23.06.2022, for execution of the work of Restoration of Damaged SP at Km.43.080 near Ulimella village of Pulivendula Mandal, during the year 2022-2023. The petitioner has completed the work. The respondent authorities have issued the Quality Control Certificate on 31.07.2023 and issued the Measurement Book for the bill amount of Rs.12,07,199/-.
3.
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 work is completed long back, the bill is not yet processed even after one and half years. Learned counsel for the
JS,J WP No.2263/2025
3 petitioner further submits that in similar circumstances, this Court in S. Srinivas v. 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. 23) …………….. 24) A larger bench of the Hon’ble Apex Court in Secretary, Irrigation Department, Government of Orissa and others V. G.C.Roy opined 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.”
1 2021 Lawsuit (AP) 390
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4
4. This Court has observed that though the work was completed long back and the bill was passed, the respondents have not released the amount so far on the ground of insufficiency of funds. Since there is no dispute with regard to the work and the bill amount, the respondents should pay the bill amount on “first done first paid” basis. 5.
In view of my foregoing discussion and the law laid down by this Court in S. Srinivas (supra), the Writ Petition is allowed, with the following directions: i) The respondents are directed to clear the bill submitted by the petitioner and release the payment of Rs.12,07,199/- within four (4) 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 (1) month from the date of submission of the bills 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: 03.04.2025 DSH