Extracted from the PDF above. The PDF is authoritative.
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APHC010474002025
IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3330] TUESDAY,THE TENTH DAY OF FEBRUARY TWO THOUSAND AND TWENTY SIX PRESENT THE HONOURABLE SRI JUSTICE TARLADA RAJASEKHAR RAO WRIT PETITION NO: 25175/2025 Between:
1. SRI DHARMA SHASTA CONTRACTORS, OFFICE AT D. NO. 18-91, KONDAPETA, BANAGANAPALLE, NANDYAL DISTRICT, ANDHRA PRADESH - 518 124 REP. BY ITS MANAGING PARTNER APPAJU MURALIMOHAN RAO
...PETITIONER AND
1. THE STATE OF AP, DEPARTMENT OF ROADS AND BUILDINGS, REP BY ITS PRINCIPAL SECRETARY, SECRETARIAT BUILDINGS, VELAGAPUDI, AMARAVATI, GUNTUR
2. THE STATE OF ANDHRA PRADESH, DEPARTMENT OF MINES AND GEOLOGY, REP BY ITS PRINCIPAL SECRETARY, SECRETARIAT BUILDINGS, VELAGAPUDI, AMARAVATI, GUNTUR DISTRICT
3. THE DISTRICT COLLECTOR AND CHAIRMAN DISTRICT MINERAL FOUNDATION, DISTRICT COLLECTORATE, NANDYAL, NANDYAL DISTRICT. 4. THE SUPERINTENDING ENGINEER, R AND B CIRCLE, KURNOOL
5. THE EXECUTIVE ENGINEER, R AND B DIVISION, NANDYAL, NANDYAL DISTRICT. 6. THE ASSISTANT EXECUTIVE ENGINEER, R AND B SECTION, KOILKUNTIA, NANDYAL DISTRICT
7. THE DEPUTY DIRECTOR OF MINES AND GEOLOGY, NANDYAL,
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NANDYAL DISTRICT. 8. THE ASSISTANT DIRECTOR OF MINES AND GEOLOGY, NANDYAL, NANDYAL DISTRICT. ...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 Writ of Mandamus declaring the action of Respondents in withholding the payments amounting to Rs. 1,58,37,411.00/- (Rupees one crore fifty eight lakhs thirty seven thousands four hundred and eleven) even after successful completion of the work and after finalizing the bills in connection with widening and strengthening of the double lane road from Km. 35/0 to 35/6 of Kalva - Bethamcherla - Banaganapalli road in Nandyal district having Measurement Book no 6369-A which was sanctioned by way of Progs. No. W and SR/DMF/Rand B/NDL/2023 dated 29.11.2023 from Collector and District Magistrate and Chairman DMFT, Nandyal district (Respondent No.3 herein) as violative of Articles 14 and 21 of Constitution of India and declare the actions of the Respondents as illegal, arbitrary, improper, unjust and consequently direct the respondents to pay the amounts of Rs.
1,58,37,411.00/- (Rupees one crore fifty eight lakhs thirty seven thousands four hundred and eleven) with interest 12percentage per annum for the delayed amount till date of realization 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 pleased to direct the Respondents in releasing funds amounting to Rs. 1,58,37,411.00/- (Rupees one crore fifty eight lakhs thirty seven thousands four hundred and eleven) after successful completion of the work and finalizing the bills in connection with widening and strengthening of the double lane road from Km. 35/0 to 35/6 of Kalva - Bethamcherla - Banaganapalli road in Nandyal district having Measurement Book no. 6369-A which was sanctioned by way of Progs. No. W and SR/DMF/R and B/NDL/2023 dated 29.11.2023 from Collector and District Magistrate and Chairman DMFT, Nandyal district who is the Respondent No.3 herein, pending disposal of the main writ petition and pass
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Counsel for the Petitioner:
1. VARUN BYREDDY Counsel for the Respondent(S):
1. GP FOR ROADS BUILDINGS
2. GP FOR MINES AND GEOLOGY The Court made the following:
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THE HONOURABLE SRI JUSTICE TARLADA RAJASEKHAR RAO WRIT PETITION No.25175 OF 2025 ORDER:
The present Writ Petition is filed under Article 226 of the Constitution of India seeking the following relief:
“…to issue a Writ, Order or direction more particularly one in the nature of Writ of Mandamus declaring the action of Respondents in withholding the payments amounting to Rs. 1,58,37,411.00/- (Rupees one crore fifty eight lakhs thirty seven thousands four hundred and eleven) even after successful completion of the work and after finalizing the bills in connection with widening and strengthening of the double lane road from Km. 35/0 to 35/6 of Kalva - Bethamcherla - Banaganapalli road in Nandyal district having Measurement Book no 6369-A which was sanctioned by way of Progs.
No. W and SR/DMF/Rand B/NDL/2023 dated 29.11.2023 from Collector and District Magistrate and Chairman DMFT, Nandyal district (Respondent No.3 herein) as violative of Articles 14 and 21 of Constitution of India and declare the actions of the Respondents as illegal, arbitrary, improper, unjust and consequently direct the respondents to pay the amounts of Rs. 1,58,37,411.00/- (Rupees one crore fifty eight lakhs thirty seven thousands four hundred and eleven) with interest 12percentage per annum for the delayed amount till date of realization and pass such other order or orders…”
2. Heard Sri Varun Byreddy, learned counsel for petitioner and learned Government Pleader for respondents. 3. The present writ petition is filed questioning the action of the respondents in withholding the payments amounting to Rs.1,58,37,411/- (Rupees one crore fifty eight lakhs thirty seven thousand four hundred and eleven only) even after successful completion of the works and after finalizing the bills in connection with Widening and strengthening of the double lane road from km 35/0 to 35/6 of Kalva – Bethamcherla – Banaganapalli road in Nandyal District having Measurement Book No.6369-A, which was sanctioned
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by way of Progs.No.W&SR/DMF/R&B/NDL/2023 dated 29.11.2023 issued by the 3rd respondent amount due for the said work is Rs.1,58,37,411/-. 4. Learned Government Pleader for Roads and Buildings for the respondent No.5/Executive Engineer, R & B Division, Nandyal filed counter- affidavit asserting that the petitioner is entitled net amount of Rs.1,33,91,348/-, after statutory deductions and the final bill for an amount of Rs.1,58,11,898/- was passed on 29.08.2025 and submitted to District Mines and Geology Office, Nandyal for payment, subsequently, they uploaded the bill vide CFMS I.D.No.2025-2068263. The present status of the bill is awaiting for fund clearance. It is further asserting that the petitioner is not entitled for interest. 5. Insofar as the interest component, the respondents contended that the petitioner should approach the appropriate forum, relying on the order of the Division Bench in W.A.791 of 2022 dated 26.04.2022.
The Division Bench affirmed the Single Judge’s order, directing the petitioner to seek relief regarding interest from the appropriate forum. In a catena of cases this Court had held that where dispute revolves round questions of fact, the matter ought not be entertained under Article 226 of the Constitution of India. 6. In the present case, the respondents have not disputed the payment due to the petitioner for the work executed and the respondents have manifested in their counter that they will pay the amount to the petitioner and they are unable to the pay due to “Bill waiting for fund clearance”, once the work executed by the petitioner to the respondents is admitted and the payment due to the petitioner is not disputed by the respondents, there was
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hardly no need for this Court to refer the matter to any forum or for arbitration for passing an arbitral award assuming that any condition in the agreement to that extent. Hence, this Court directs the respondents to pay the admitted amount to the petitioner. 7. In The D.F.O., South Kheri And Ors. vs Ram Sanehi Singh1, the Hon’ble Apex Court held that when a State decides not to pay the dues with mala fide, with ulterior motives or arbitrarily or when the State avoids payment of the dues with mala fide, with ulterior motives, arbitrarily or when the State discriminates, while making payment dues, such a decision of the State not to pay or such an act of the State of not paying its dues cannot be said to be wholly beyond the reach of Article 226, for asking the writ Court to do is to force the State to act in accordance with its constitutional obligation by adhering to the letter and spirit of Articles 14 and 21 of the Constitution of India. 8.
8. In view of the above, the present Writ Petition is disposed of with following directions: (a) The respondents are directed to clear the due amount to the petitioner within a period of three (03) months from the date of receipt of a copy of this order. (b) Sum due to the petitioner would mean, the sum arrived after statutory deductions. If there is any dispute regarding statutory recoveries, the petitioner is at liberty to communicate/interface with the respondents. 1 (1971) 3 SCC 864
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(c) With regard to interest, the petitioner is at liberty to approach appropriate forum. There shall be no order as to costs. As a sequel thereto, miscellaneous petitions pending, if any, shall stand closed. __________________________________ JUSTICE TARLADA RAJASEKHAR RAO Date: 10.02.2026
SSA