EAST COAST CONSTRUCTIONS AND INDUSTRIES LTD v. THE STATE OF AP
WP/9276/2026 · 2026-09-07
Venkateswarlu Nimmagadda
body2026
DailyLaw.ai
[ 2026 DAILYLAW 9445 (AP) · dailylaw.ai ]
DailyLaw.ai
[ 2026 DAILYLAW 9445 (AP) · dailylaw.ai ]
Judgment text
Extracted from the PDF above. The PDF is authoritative.
APHC010171212026
IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3329] TUESDAY, THE 8th DAY OF SEPTEMBER 2026 PRESENT THE HONOURABLE SRI JUSTICE VENKATESWARLU NIMMAGADDA WRIT PETITION NO: 9276/2026 Between:
1. EAST COAST CONSTRUCTIONS AND INDUSTRIES LTD, A COMPANY INCORPORATED UNDER THE COMPANIES ACT, HAVING ITS REGISTERED OFFICE AT BUHARI BUILDINGS, NO.4, MOORES ROAD, CHENNAI - 600 006, REPRESENTED BY ITS - DIRECTOR/AUTHORIZED SIGNATORY
S.A. MOHAMED MOHIDEEN,
...PETITIONER AND
1. THE STATE OF AP, REP BY ITS PRINCIPAL SECRETARY, MEDICAL AND FAMILY WELFARE, SECRETARIAT BUILDINGS, VELAGAPUDI, GUNTUR DISTRICT-522 237
2. ANDHRA PRADESH MEDICAL SERVICES AND INFRASTRUCTURE DEVELOPMENT CORPORATION APMSIDC, PREVIOUSLY KNOWN AS ANDHRA PRADESH HEALTH AND MEDICAL HOUSING AND INFRASTRUCTURE DEVELOPMENT CORPORATION (APHMHIDC), REP. BY ITS MANAGING DIRECTOR, PLOT NO.9, SURVEY NO.49, IT PARK, MANGALAGIRI - 522 503
3. THE ZONAL MANAGER, ANDHRA PRADESH MEDICAL SERVICES AND
INFRASTRUCTURE DEVELOPMENT CORPORATION (APMSIDC) PREVIOUSLY KNOWN AS ANDHRA PRADESH HEALTH AND MEDICAL HOUSING AND INFRASTRUCTURE DEVELOPMENT CORPORATION (APHMHIDC), REP. BY ITS MANAGING DIRECTOR, PLOT NO.9, SURVEY NO.49, IT PARK, MANGALAGIRI - 522 503
2
...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 topleased to issue a Writ of Mandamus or any other appropriate writ of order or direction one in nature Mandamus declaring the arbitrary and unjust action of the Respondent in levying and recovering Liquidated Damages of Rs. 17,12,70,748/- (Rupees Seventeen Crore Twelve Lakh Seventy Thousand Seven Hundred Forty Eight) from the Petitioner, as bad, illegal, arbitrary, unjust and violative of principles of natural justice and Articles 14, 19, 21 and 300-A of the Constitution of India and consequently setaside the same by directing the respondents to refund the Liquidated Damages amount of Rs.
17,12,70,748/- (Rupees Seventeen Crore Twelve Lakh Seventy Thousand Seven Hundred Forty Eight) to the Petitioner, along with interest at such rate as this Honble Court may deem fit, from the date of recovery till payment, and/or further be pleased direct the Respondents to consider and dispose of the Petitioners representation dated 08/11/2024 by passing a reasoned and speaking order within a time bound period, in the interests of justice and 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 pleased direct the Respondents to consider and dispose of the Petitioner’s representation dated: 08-11-2024 by passing a reasoned and speaking order within a time bound period, as fixed by this Hon’ble Court in the interests of justice and pass Counsel for the Petitioner:
1. M SRI ATCHYUT Counsel for the Respondent(S):
1. GP FOR MEDICAL HEALTH FW
2. S PRANATHI
3
THE HON’BLE SRI JUSTICE VENKATESWARLU NIMMAGADDA WRIT PETITION No.9276 OF 2026
ORDER:
1. This writ petition is filed to issue Writ of Mandamus under Article 226 of the Constitution of India, declaring the action of the respondents in levying and recovering liquidated damages of Rs.17,12,70,748/- from the petitioner as illegal, arbitrary and consequently set aside the same by directing the respondents to refund the Liquidated Damages amount to the petitioner and also direct the respondents to consider and dispose of the petitioner’s representation, dated 08.11.2024 by passing a reasoned and speaking order.
2. Heard Sri Atchyut, learned counsel for the petitioner and learned Standing Counsel appearing for the respondents 2 & 3.
3. The case of the petitioner is that the petitioner is a construction company incorporated under the Companies Act and is engaged in executing construction contracts. The petitioner was awarded the works of Constructions of Buildings for Rajiv Gandhi University of Knowledge Technologies (IIIT) at Rajiv Knowledge Valley (Idupulapaya), Kadapa District and entered into an agreement, dated 19.11.2008, for an contract value of Rs.258,18,73,351/- and the subject contract was stipulated to be completed within a period of 21 months, i.e., on or before 18.08.2010. While executing the said project, the respondents deducted certain amounts from the bills payable to the petitioner
4
on the ground of liquidated damages. Challenging the same, the present Writ Petition is filed.
4.
Learned counsel for the petitioner submits that, in view of the waiver clause contained in the contract, such a reduction towards liquidated damages is contrary to the terms and conditions of the contract and the petitioner is entitled to receive the amount deducted towards liquidated damages amount and in this regard, the petitioner submitted a detailed representations, dated 08.11.2024 and a further representation dated 22.09.2025. Despite receipt of the said representations, the respondents have either considered the same nor furnished any response to the petitioner.
5. On the other hand, learned Standing Counsel appearing for the respondents 2 & 3 submits that, since the petitioner has submitted a representation dated 22.09.2025 seeking release of the amount deducted towards liquidated damages, the said representation will be considered and an appropriate speaking order will be passed thereon, in accordance with law.
6. Both the learned counsel have expressed their consent for disposal of the present Writ Petition.
7. Having considered the submissions made by the learned counsel appearing for the petitioner and the learned Government Pleader for Medical & Health appearing for the respondents, and having perused the material available on record, this Court is of the considered view that the present Writ Petition can be disposed of by directing the respondents 2 & 3 to consider and dispose of the representation dated 22.09.2025 submitted by the petitioner,
5
after affording an opportunity of hearing to the petitioner and pass an appropriate speaking order thereon, in accordance with law, within a period of three(3) months from the date of receipt of a copy of this Order.
8. With the above direction, writ petition is disposed of. No costs.
9. As a sequel, miscellaneous petitions, if any pending, shall stand closed.
______________________________________ JUSTICE VENKATESWARLU NIMMAGADDA Date: 08-09-2026
BSM
6
THE HON’BLE SRI JUSTICE VENKATESWARLU NIMMAGADDA
WRIT PETITION NO.9276 OF 2026
Date 08-09-2026
W
BSM