APHC010275332026 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3327] FRIDAY, THE 24th DAY OF JULY 2026 PRESENT THE HONOURABLE SRI JUSTICE K SREENIVASA REDDY WRIT PETITION NO: 17737/2026 Between: 1. KOMMINENI VENKATESWARLU,, S/O. KRISHNAIAH, AGED 52 YEARS R/O. 4-77, PULIPADU VILLAGE, GURAZALA MANDAL, PALNADU DISTIICT. ...PETITIONER A N D 1. THE STATE OF ANDHRA PRADESH, REP., BY ITS PRINCIPAL SECRETARY, DEPARTMENT OF PANCHAYAT RAJ AND RURAL DEVELOPMENT, SECRETARIAT, VELAGAPUDI, AMARAVATI, GUNTUR DISTRICT. 2. THE STATE OF ANDHRA PRADESH, REP BY PRINCIPAL SECRETARY HOUSING DEPARTMENT, SECRETARIAT,VELAGAPUDI, AMARAVATI, GUNTUR DISTRICT. 3. THE STATE OF ANDHRA PRADESH, REP., BY ITS PRINCIPAL SECRETARY, DEPARTMENT OF FINANCE AND PLANNING, SECRETARIAT, VELAGAPUDI, AMARAVATI, GUNTUR DISTRICT. 4. THE UNION OF INDIA, REP BY ITS SECRETARY, RURAL DEVELOPMENT DEPARTMENT, GOVERNMENT OF INDIA KRISHI BHAVAN, DR RAJENDRA PRASAD ROAD, NEW DELHI- 110001 5. THE DIRECTOR, MAHATMA GANDHI NATIONAL RURAL EMPLOYMENT GUARANTEE SCHEME, MINISTRY OF RURAL DEVELOPMENT, GOVERNMENT OF INDIA, KRISHI BHAVAN, NEW DELHI. 6. THE COMPREHENSIVE FINANCIAL MANAGEMENT SYSTEM, REP BY ITS DIRECTOR, IBRAHIMPATNAM, VIJAYAWADA. 7. THE COMMISSIONER, A.P., PANCHAYAT RAJ AND RURAL DEVELOPMENT DEPARTMENT, NH -16 TADEPALLI, GUNTUR DISTRICT. 8. THE DISTRICT COLLECTOR PANCHAYAT WING, PALNADU DISTRICT AT NARASARAOPET, 9. THE EXECUTIVE ENGINEER, PANCHAYAT RAJ DIVISION, GURAZALA, PALNADU DISTRICT. SRK, J W.P.No.17737 of 2026 2 10. PULIPADU GRAM PANCHAYAT, REP. BY THE SPECIAL OFFICER CUM EXTENSION OFFICER, UNDER MAHATMA GANDNI NATIONAL RURAL EMPLOYMENT GUARANTEE SCHEME, GURAZALA MANDAL, PALNADU DISTRICT. 11. PULIPADU GRAM PANCHAYAT, REP.BY ITS SECRETARY, PULIPADU, GURAZALA MANDAL, PALANADU 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 an appropriate Writ, order or direction more particularly one in the nature of writ of mandamus declaring the action of the Respondents in not releasing an amount of Rs. 27,53,660/- (Rupees Twenty Seven Lakhs Fifty Three Thousand Six Hundred and Sixty Only) to the petitioner in respect of execution of works by the petitioner i.e., Development of Housing Colony under Land Development Project in Community Land within the limits of Pulipadu Gram Panchayat of Gurazala Mandal in Palandu District during the year 2019-2020 as illegal, irregular, irrational, violative of provisions of National Rural Employment Guarantee Scheme Act, 2005 and Andhra Pradesh Panchayat Raj Act, 1994 and rules framed thereunder and offends Articles 14 and 21 of Constitution of India and consequently direct the respondents to release the amount of Rs. 27,53,660/- (Rupees Twenty-Seven Lakhs Fifty Three Thousand Six Hundred and Sixty Only) mentioned in the Measurement Books to the petitioner for the said works executed by the petitioner and to pass such 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 to release the amount of Rs. 27,53,660/- (Rupees Twenty Seven Lakhs Fifty Three Thousand Six Hundred and Sixty Only) mentioned in the Measurement Books to the petitioner in respect of the execution of works i.e., “Development of Housing Colony under Land Development Project in Community Land” within the limits of Pulipadu Gram Panchayat of Gurazala Mandal in Palnadu District during the year 2019-2020 forthwith, pending disposal of the main writ petition and pass such Counsel for the Petitioner: 1. SIVA NAGARJUNA SIDHADAPU Counsel for the Respondent(S): 1. GP FOR PANCHAYAT RAJ RURAL DEV 2. GP FOR FINANCE PLANNING 3. GP FOR HOUSING The Court made the following: SRK, J W.P.No.17737 of 2026 3 O R D E R Heard learned counsel for the Writ Petitioner, learned Assistant Government Pleader for the Panchayat Raj and Rural Development, representing respondent Nos.1, 7 to 9, learned Assistant Government Pleader for the Housing Department, representing respondent No.2, learned Assistant Government Pleader for the Finance and Planning, representing respondent Nos.3 and 6, learned Standing Counsel for the Central Government, representing respondent Nos.4 and 5, and the learned Standing Counsel for the Gram Panchayat, representing respondent Nos.10 and 11. 2. This Writ Petition is filed 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 respondents in not releasing an amount of Rs.27,53,660/- to the petitioner in respect of execution of works by the petitioner i.e. Development of Housing Colony under Land Development Project in Community Land within the limits of Pulipadu Gram Panchayat of Gurazala Mandal in Palnadu District during the year 2019-2020, as illegal, arbitrary, irrational and violative of the provisions of the National Rural Employment Guarantee Scheme Act, 2005 and the Andhra Pradesh Panchayat Raj Act, 1994, and consequently, direct the respondents to release the amount of Rs.27,53,660/- mentioned in the Measurement Books to the petitioner for the said works executed by the petitioner and to pass such other order or orders …” 3. The Writ Petitioner claims to be a Civil Contractor. The Writ Petitioner was entrusted with the development works like SRK, J W.P.No.17737 of 2026 4 construction of burial ground, compound walls, school compound walls, CC road and culverts, gravel roads, and development of community lands within the limits of respondent No.10-Gram Panchayat. The said works were allotted to the Writ Petitioner under the Grant of Mahatma Gandhi National Rural Employment Guarantee Scheme (for brevity „MGNREGS‟). The Writ Petitioner executed the subject works within the stipulated time. The respondent authorities inspected the works and recorded the same in the Measurement Books vide M-Book Nos.6892 and 6772 for the work ID-70906 and M- Book Nos.6893 and 6326 for the work ID-70907, confirmed the completion of entrusted works and made payment of Rs.53,50,000/- out of Rs.81,03,660/-. (b) It is the grievance of the Writ Petitioner that though he executed the subjects works within stipulated, the respondent authorities kept pending the balance amount of Rs.27,53,660/-. Even the Writ Petitioner approached the respondent authorities on multiple occasions, requesting for payment of aforesaid pending bill amount, they are not paying the said amount. According to Writ Petitioner, having executed the works satisfactorily, within the prescribed time, non-payment of the bill amount was arbitrary and unjustified. It was further contended that the delay in payment is causing severe SRK, J W.P.No.17737 of 2026 5 financial hardship, necessitating the filing of the present Writ Petition seeking appropriate directions for release of the outstanding amount. 4. Today when the matter is taken up for hearing, learned Assistant Government Pleader for the Panchayat Raj and Rural Development Department, representing respondent Nos.1, 7 to 9, on oral instructions, submits that the Writ Petitioner executed the works under the MGNREGS grant. He further submits that the Writ Petitioner was paid Rs.53,50,000/-, and the balance amount of Rs.27,53,660/- was kept pending, and he seeks time to process the bill for release of balance amount. 5. The issue raised in the present Writ Petition is squarely covered by the Order of this Court in Rayapureddy Srinivasa Rao and others v. Government of Andhra Pradesh, rep. by its Principal Secretary to Government and others 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. 1 2021 SCC Online AP 3084. SRK, J W.P.No.17737 of 2026 6 (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. (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 compound 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. 6. Against the above said order, several Writ Appeals are filed and in one of the Writ Appeals (i.e.) Writ Appeal 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.138861/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. SRK, J W.P.No.17737 of 2026 7 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.” 7. Subsequently, a Division Bench of this Court headed by the Hon‟ble the Chief Justice while hearing the Writ Appeal Nos.740 and 741 of 2021, having considered the Order passed in Writ Appeal No.724 of 2021, passed the following Order: “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.” 8. The learned counsel for the Writ 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.138861/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‟. Therefore, it is made clear that the Memo SRK, J W.P.No.17737 of 2026 8 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. 10. Since there is no dispute with regard to execution of works by the Writ Petitioner under the Mahatma Gandhi National Rural Employment Guarantee Scheme and Collector Funds, and also the Writ Petitioner‟s entitlement to balance amount of Rs.27,53,660/-, the Writ Petition is maintainable. In M/s. Utkal Highways Engineers and Contractors v. Chief General Manager & Ors.2, it was held as under: (Paragraph No.8) “Be that as it may, the High Court has not dealt with the merits of the Writ Petition. Moreover, it is not an inviolable rule that no money claim can be adjudicated upon in exercise of Writ jurisdiction. Non-payment of admitted dues, inter alia, may be considered an arbitrary action on the part of respondents and for claiming the same, a Writ Petition may lie. Further, throwing a Writ Petition on ground of availability of alternative remedy after 10 years, particularly, when parties have exchanged their affidavits, is not the correct course unless there are disputed questions of fact which by their very nature cannot be adjudicated upon without recording formal evidence.” 2 2025 SCC OnLine SC 1400. SRK, J W.P.No.17737 of 2026 9 11. Having regard to the facts and circumstances of the case coupled with the submission made by the learned Assistant Government Pleader for the Panchayat Raj and Rural Development, the respondent authorities are directed to pay the balance amount/ admitted amount of Rs.27,53,660/- (Rupees Twenty Seven Lakhs Fifty Three Thousand Six Hundred and Sixty only) to the Writ Petitioner within a period of Six (6) weeks from the date of receipt of a copy of this order. 12. Accordingly, the Writ Petition is disposed of. There shall be no order as to costs of the Writ Petition. As a sequel thereto, the miscellaneous applications, if any, pending in this Writ Petition, shall stand closed. JUSTICE K. SREENIVASA REDDY 24th July, 2026. DNB Whether the Order is: Speaking ✓ Reasoned Reportable Non-reportable ✓