Date of reserved for orders : Date of pronouncement : 08.07.2026 Date of uploading : APHC010194752026 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3327] WEDNESDAY, THE 8th DAY OF JULY 2026 PRESENT THE HONOURABLE SRI JUSTICE K. SREENIVASA REDDY WRIT PETITION NO: 10834/2026 Between: 1. B NAGARAJU, S/O BALA KOTAIAH, AGED ABOUT 48 YEARS, R/O.D.NO.2-150/2, KANDRIKA VILLAGE, GUTLAPALLI GRAM PANCHAYAT, BOLLAPALLI MANDAL, PALNADU DISTRICT. ...PETITIONER AND 1. THE STATE OF ANDHRA PRADESH, REP. BY ITS PRINCIPAL SECRETARY, PANCHAYAT RAJ AND RURAL DEVELOPMENT DEPARTMENT, SECRETARIAT, VELAGAPUDI, AMARAVATI, GUNTUR DISTRICT. 2. THE PRINCIPAL SECRETARY, FINANCE AND PLANNING DEPARTMENT GOVERNMENT OF ANDHRA PRADESH, SECRETARIAT VELAGAPUDI AMARAVATI, GUNTUR DISTRICT. 3. THE DISTRICT COLLECTOR, NARASARAOPJET, PALNADU DISTRICT (EARLIER GUNTUR). 4. THE SUPERINTENDING ENGINEER, RWS AND S CIRCLE, GUNTUR. 5. THE DEPUTY EXECUTIVE ENGINEER, RWS AND S SUB-DIVISION, VINUKONDA, PALNADU DISTRICT (EARLIER GUNTUR). 6. THE ASSISTANT ENGINEER, RWS AND S SUB-DIVISION, BOLLAPALLI, PALNADU DISTRICT (EARLIER GUNTUR). 2 SRK, J WP.No.10834 of 2026 7. THE ASSISTANT ENGINEER, MPP, BOLLAPALLI, PALNADU DISTRICT (EARLIER GUNTUR). 8. THE GUTLAPALLI GRAM PANCHAYAT, REP. BY ITS PANCHAYAT SECRETARY, GUTLAPALLI VILLAGE, BOLLAPALLI MANDAL PALNADU DISTRICT (EARLIER GUNTUR). ...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 an order, writ or direction, more particularly one in the nature of Writ of Mandamus declaring the action of the respondents in not paying the contract bill amounts to the petitioner i.e., Rs.8,41,759/- (Rupees Eight Lakhs Forty One Thousand Seven Hundred and Fifty Nine Only) for the works executed by the Petitioner within Gutlapalli Gram Panchayat in Bollapalli Mandal, Guntur District (Now Palnadu District), which is illegal, arbitrary, irresponsible, against to the principles of natural justice, apart from being violation of Articles 14, 19 and 21 of the Constitution of India, consequently direct the Respondents to pay the bill amounts of Rs.8,41,759/- (Rupees Eight Lakhs Forty One Thousand Seven Hundred and Fifty Nine Only) along with interest to the Petitioner in the interest of justice and to pass IA NO: 1 OF 2026 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 to direct the respondents forthwith to pay the bill amounts to the Petitioner i.e., Rs.8,41,759/- (Rupees Eight Lakhs Forty One Thousand Seven Hundred and Fifty Nine Only) in respect of the works executed by the Petitioner pending disposal of the above writ petition in the interest of justice and pass Counsel for the Petitioner: 1. MANIKANTA THOTA Counsel for the Respondent(S): 1. GP FOR PANCHAYAT RAJ RURAL DEV 2. GP FOR FINANCE PLANNING The Court made the following: 3 SRK, J WP.No.10834 of 2026 O R D E R This Writ Petition is filed seeking the following relief: “…to issue an order, writ or direction, more particularly one in the nature of Writ of Mandamus declaring the action of the respondents in not paying the contract bill amounts to the petitioner i.e., Rs.8,41,759/- (Rupees Eight Lakhs Forty One Thousand Seven Hundred and Fifty Nine Only) for the works executed by the Petitioner within Gutlapalli Gram Panchayat in Bollapalli Mandal, Guntur District (Now Palnadu District), which is illegal, arbitrary, irresponsible, against to the principles of natural justice, apart from being violation of Articles 14, 19 and 21 of the Constitution of India, consequently direct the Respondents to pay the bill amounts of Rs.8,41,759/- (Rupees Eight Lakhs Forty One Thousand Seven Hundred and Fifty Nine Only) along with interest to the Petitioner in the interest of justiceand pass such other order…” 2. Heard learned counsel for the petitioner and the learned counsel appearing for the respondents. Perused the material available on record. 3. The issue raised in the present Writ Petition is squarely covered by the order of this Court in Rayapureddy Srinivasa Rao and others vs. Government of Andhra Pradesh, rep. by its Principal Secretary to Government and others1 and batch in which the Writ Petitions are allowed with the following directions: i) The Memo No.1263069/RD.II/A1/2020, dated 05.11.2020 and the Memo No.1388361/RD.II/A1/ 2020, dated 12.05.2021 issued by the Respondent No.1 are set aside to the extent of deduction of 21.02% for DCC works and 6.333% for MCC works while making payment to the petitioner. ii) The respondents are directed to clear the bills submitted by the petitioner and to release payment forthwith, in case no payment is made till date. 1 2021 SCC OnLine AP 3084 4 SRK, J WP.No.10834 of 2026 iii) In case, any part payment is made as on date, the remaining amount shall be paid to the petitioner forthwith. iv) The respondents shall pay interest @ 12% per annum within a period of four (4) weeks from the date of receipt of a copy of this order. v) The interest shall be computed from the date of expiry of one month from the date of submission of the bill by the petitioner to till the date of final payment. 4. Against the above said order, several Writ Appeals are filed and in one of the Writ Appeals (i.e.) W.A.No.724 of 2021, a Division Bench of this Court has passed an interim order, dated 18.11.2021 as extracted hereunder: “The direction of the learned Single Judge regarding payment of interest to the respondent no.1 as also setting aside the provision in Memo No.1263069/RD.II/A1/2020, dated 05.11.2020 and the Memo No. 1388361/ RD.II/A1/2020, dated 12.05.2021 relating to deduction of 21.02% for DCC works and 6.333% for MCC works, while making payment, shall remained stayed. On a query of the Court, learned Advocate General submitted that the direction of the learned Single Judge as far as payment of the principal amount of the bills raised by the original writ petitioner, in terms of the order of the Division Bench in Krishna District Grama Panchayathi Sarpanchla Sangam (supra), shall be made within four weeks, if already not done. The matter be listed for hearing in due course. It is clarified that the appellants shall comply with the rest of the directions issued by the learned Single Judge in the judgment under appeal.” 5. Subsequently, a Division Bench of this Court headed by the Hon’ble Chief Justice while hearing the Writ Appeal Nos.740 and 741 of 2021, having considered the order passed in W.A.No.724 of 2021, passed the following order: 5 SRK, J WP.No.10834 of 2026 “Considering the facts and circumstances of the case and having regard to the interim order passed by the Coordinate Bench, we direct that the said interim order shall apply for the present writ appeals also, however, with a condition that the appellants shall pay the principal amount of the bill raised by the original writ petitioners, within a period of four weeks, failing which the present interim order shall stand vacated without reference to the bench.” 6. The respective counsels appearing for the petitioner and respondents in the Writ Petition have consented to dispose of this Writ Petition by following the order, dated 24.11.2021, passed by a Division Bench of this Court in W.A.Nos.740 and 741 of 2021. 7. The learned counsel appearing for the petitioner in this Writ Petition sought permission of this Court to grant liberty to renew his claim with regard to the interest part after disposal of the Writ Appeals. 8. The learned counsel for the petitioner requested the Court to clarify the applicability of the Memo No.1263069/RD.II/A1/2020, dated 05.11.2020 and the Memo No.1388361/RD.II/A1/2020, dated 12.05.2021. 9. The learned Assistant Government Pleader for Panchayat Raj submitted that the said Memos are issued for the works executed under “Mahatma Gandhi National Rural Employment Guarantee Scheme”. 10. It is made clear that the Memo No.1263069/RD.II/A1/2020, dated 05.11.2020 and the Memo No.1388361/RD.II/A1/2020, dated 12.05.2021 are applicable to the works executed under “Mahatma Gandhi National Rural Employment Guarantee Scheme” only. 11. Accordingly, this Writ Petition is disposed of with the following directions: 6 SRK, J WP.No.10834 of 2026 i) The Respondents in this Writ Petition shall pay the principal amount of the bill raised by the Writ Petitioner within a period of six (6) weeks. ii) The Writ Petitioner is at liberty to renew/raise/agitate his rights with regard to interest aspect, etc., after disposal of the Writ Appeals. As a sequel thereto, the miscellaneous applications, if any, pending in this Writ Petition, shall stand closed. _____________________________ JUSTICE K. SREENIVASA REDDY Date: 08.07.2026. MS Whether the order is: Speaking ☑ Reasoned Reportable Non-reportable ☑ 7 SRK, J WP.No.10834 of 2026 HON’BLE SRI JUSTICE K. SREENIVASA REDDY Writ Petition No:10834 of 2026 Date: 08.07.2026 MS