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2026 DAILYLAW 18780 (AP)

PSR Constructions v. The State of Andhra Pradesh

WP/6658/2025 · 2026-01-04

V Sujatha

body2026

Judgment text

Extracted from the PDF above. The PDF is authoritative.

APHC010123682025 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3333] MONDAY,THE FIFTH DAY OF JANUARY TWO THOUSAND AND TWENTY SIX PRESENT THE HONOURABLE SMT JUSTICE V.SUJATHA WRIT PETITION NO: 6658/2025 Between: 1. PSR CONSTRUCTIONS,, REP. BY ITS MANAGING PARTNER, SRI K. MADHAVA RAO, S/O. LATE PEDDAMAIAKONDAIAH, AGED ABOUT 43 YEARS, R/O. DARAKANIPADU VILLAGE, GUDLUR MANDAL, PRAKASAM DISTRICT. ...PETITIONER AND 1. THE STATE OF ANDHRA PRADESH, REP. BY ITS PRINCIPAL SECRETARY, IRRIGATION DEPARTMENT, SECRETARIAT, VELAGAPUDI, AMARAVATHF, GUNTUR DISTRICT. 2. THE STATE OF ANDHRA PRADESH, REP. BY ITS PRINCIPAL SECRETARY TO GOVERNMENT, DEPARTMENT OF FINANCE AND PLANNING,SECRETARIAT VELAGAPUDI, AMARAVATHI, GUNTUR DISTRICT. ...RESPONDENT(S): Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the 2 VS,J W.P.NO.6658 OF 2025 High Court may be pleased topleased to issue an appropriate writ, order or direction, more particularly one in the nature of Writ of Mandamus declaring the action of the respondent authorities in not releasing the admitted amount to the petitioner for the execution of works in related to Agreement No. 01/2023-24, dated 15-12-2024, VideCFMS Bill Token NO. 2024- 2003955, respectively as arbitrary, illegal, contrary to Law and against the Principles of Natural Justice and against the Norms of the Public Policy and to issue consequential direction directing the respondent authorities to release the amounts payable to the petitioner with an interest at 18percent per annum 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 pleased to direct the respondent authorities to release admitted amount to the petitioner for the execution of works inrelated to Agreement No. 01/2023-24, dated 15-12-2024 vide CFMS Bill Token NO. 2024- 2003955 respectively, pending disposal of the above writ petition Counsel for the Petitioner: 1. VENKAT SAILENDRA G Counsel for the Respondent(S): 1. GP FOR IRRI AND CAD 2. GP FOR FINANCE PLANNING The Court made the following: 3 VS,J W.P.NO.6658 OF 2025 ORDER:- This writ petition is filed under Article 226 of the Constitution of India seeking the following relief: “…to issue an appropriate writ, order or direction, more particularly one in the nature of Writ of Mandamus declaring the action of the respondent authorities in not releasing the admitted amount to the petitioner for the execution of works in related to Agreement No.01/2023-24, dated 15-12-2024, Vide CFMS Bill Token NO. 2024- 2003955, respectively as arbitrary, illegal, contrary to Law and against the Principles of Natural Justice and against the Norms of the Public Policy and to issue consequential direction directing the respondent authorities to release the amounts payable to the petitioner with an interest at 18% per annum....” 2. The petitioner had been awarded the contract of work(s) by the Irrigation Department. After execution of the said contract, the petitioner submitted final bills. As the payment of the said amounts has not been made by the respondents, the petitioner has approached this Court by way of this writ petition. 3. 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. 4. This Court, in various orders, including the judgment of a learned Single Judge of this Court dated 05.10.2021 in 4 VS,J W.P.NO.6658 OF 2025 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. 5. Respondent No.5 has filed a counter stating that the petitioner’s work bill gross amount is Rs.6,07,58,277.89/- and the deduction amount of Rs.70,10,813.00/-. After deduction of amount, the Net amount of Rs.5,37,47,464.89/- is approved and the bill was submitted to CFMS for arranging payment vide CFMS bill No.2025-530241. The payment of the bill is “waiting for fund clearance” in CFMS portal and, on clearance by the Finance Department, the amount will be paid to the petitioner. 6. 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 admitted amount to the petitioner within a period of eight (08) months from the date of receipt of a copy of this order. No costs. 7. As far as interest component is concerned, if there is any subsisting clause in the agreement/work order envisaging 5 VS,J W.P.NO.6658 OF 2025 payment of interest upon any amount which is due and payable, the same is binding upon both the parties. Consequently, Miscellaneous Petitions, if any, pending in this Writ Petition shall stand closed. ____________________ JUSTICE V.SUJATHA Date :05.01.2026 LSP