Disposed¶51

P Annapuma, v. The State of Andhra Pradesh

Andhra Pradesh HC14 Sept 2025WP/570/2024

Case brief

AI extract

What is this about?

Interest on delayed payment of contractor's admitted bills; writ of mandamus under Article 226; check dams across Chelu Vagu, Nakkalagunta Vagu and Lakkavaagu and improvements to Doruvupadu Tank, Chejarla Mandal, S.P.S.R. Nellore District; contract clause excluding interest; remedy before appropriate forum rather than writ adjudication; Union of India v. Bright Power Projects (India) (P) Ltd., (2015) 9 SCC 695; W.A.No.60 of 2025 followed; Section 151 CPC interlocutory applications; writ disposed without costs, miscellaneous petitions closed.

What did the court decide?

Direction to the parties to agitate their respective claim with regard to interest and counter claim before an appropriate forum, in accordance with law; no costs; miscellaneous petitions, if any, in the writ petition shall stand closed. ¶51

P Annapuma, Vs The State of Andhra Pradesh — Writ and Judicial Review | Andhra Pradesh HC (2025)

What the court decided

AI extract

Outcome

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Issue for consideration

Whether the respondents' non-payment of interest on the admitted bill amounts for the four executed works is arbitrary and illegal, and whether the petitioner is entitled to interest @ 6% per annum on the admitted amounts.

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Court's answer

The writ petition is disposed of in similar lines as in W.A.No.60 of 2025, directing the parties to agitate their respective claim with regard to interest and counter claim before an appropriate forum, in accordance with law; no costs; miscellaneous petitions, if any, shall stand closed. The Court did not itself adjudicate entitlement to interest.

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Detailed headnote1 paragraphs

Andhra Pradesh High Court (V. Sujatha, J.), W.P. No. 570 of 2024, disposed on 15.09.2025. A housewife-contractor, Convener of the J.B.M.V. Committee, sought a writ of mandamus under Article 226 declaring arbitrary the respondents' failure to pay interest @ 6% per annum on admitted bill amounts for four executed works - construction of check dams across Chelu Vagu, Nakkalagunta Vagu and Lakkavaagu and improvements to Doruvupadu Tank - in Chejarla Mandal, S.P.S.R. Nellore District. The admitted principal amounts had been paid only after the petitioner pursued earlier writs (W.P.Nos.5933, 6088, 6400 and 6528 of 2022, with interim directions to pay within six weeks) and a contempt case. Under similar circumstances, following the Division Bench decision in W.A.No.60 of 2025, which relied on the principle in Union of India v. Bright Power Projects (India) (P) Ltd., (2015) 9 SCC 695 (parties agreeing that no interest would be payable remain free to agitate their claims and counter claims before an appropriate forum), the Court directed the parties to agitate their respective interest claim and counter claim before an appropriate forum in accordance with law. No costs; miscellaneous petitions closed.

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APHC010006332024

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IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI

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(Special Original Jurisdiction)

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[3333]

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MONDAY,THE FIFTEENTH DAY OF SEPTEMBER TWO THOUSAND AND TWENTY FIVE

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PRESENT

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THE HONOURABLE SMT JUSTICE V.SUJATHA

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WRIT PETITION NO: 570/2024

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Between:

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P ANNAPUMA,, W/O SRINIVASULU, AGED ABOUT 44 YEARS, OCC HOUSEWIFE, CONVENER, J.B.M.V. COMMITTEE, YETURU, R/O VAVILERU (VIL), CHEJARLA MANDAL, S.P.S.R. NELLORE DISTRICT

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...PETITIONER

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AND

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THE STATE OF ANDHRA PRADESH, REP. BY ITS PRINCIPAL SECRETARY, IRRIGATION DEPARTMENT, SECRETARIAT, VELAGAPUDI, AMARAVATHI, GUNTUR DISTRICT, ANDHRA PRADESH STATE.

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THE STATE OF ANDHRA PRADESH, REP. BY ITS PRINCIPAL SECRETARY, FINANCE DEPARTMENT, SECRETARIAT, VELAGAPUDI, AMARAVATHI, GUNTUR DISTRICT, ANDHRA PRADESH STATE.

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THE DIRECTOR OF WORKS AND ACCOUNTS, 3RD FLOOR, C-BLOCK, ANJANEYA TOWERS, IBRAHIMPATNAM, KRISHNA DISTRICT-521456.

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THE DISTRICT COLLECTOR, NELLORE,

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VS,J W.P.NO.570 OF 2024

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S.P.S.R.NELLORE DISTRICT

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THE SUPERINTENDING ENGINEER, IRRIGATION CIRCLE, NELLORE, S.P.S.R.NELLORE DISTRICT

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THE EXECUTIVE ENGINEER, WRD, IRRIGATION DIVISION, ATMAKUR, S.P.S.R.NELLORE DISTRICT.

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THE ASSISTANT PAY AND ACCOUNTS OFFICERI, WORKS AND PROJECTS, SOMASILA PROJECT, NELLORE, S.P.S.R.NELLORE DISTRICT

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...RESPONDENT(S):

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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, order or direction more particularly one in the nature of Writ of Mandamus declaring the action of the Respondents in not paying the interest for the execution of the works 1) Construction of Check Dam across Chelu Vagu near Seenaiah fields of Yeturu Village, Chejarla Mandal, S.P.S.R.Nellore District. 2) Improvements to Doruvupadu Tank near Vavileru village, Chejarla Mandal, S.P.S.R.Nellore District. 3) Construction of check Dam across Nakkalagunta Vagu near Vavileru Village, Chejarla Mandal, S.P.S.RNellore District. 4) Construction of Check Dam across Lakkavaagu near Subba Reddy fields of Vavileru Village, Chejarla Mandal, S.P.S.R.Nellore District to the Petitioner is arbitrary, illegal, without Jurisdiction and consequentially direct the Respondents to pay the interest @ 6percent per annum to the Petitioner for the execution of the above said works on the admitted bill amount from the date when the bills were submitted by the Petitioner for payment till the date of final payment and pass

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IA NO: 1 OF 2024

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Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the

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VS,J W.P.NO.570 OF 2024

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petition, the High Court may be pleased pleased to direct the Respondents to pay the interest to the Petitioner @6% per annum for the execution of the works 1) Construction of Check Dam across Chelu Vagu near Seenaiah fields of Yeturu Village, Chejarla Mandal, S.P.S.RNellore District. 2) Improvements to Doruvupadu Tank near Vavileru village, Chejarla Mandal, S.P.S.RNellore District. 3) Construction of check Dam across Nakkalagunta Vagu near Vavileru Village, Chejarla Mandal, S.P.S.R.Nellore District. 4) Construction of Check Dam across Lakkavaagu near Subba Reddy fields of Vavileru Village, Chejarla Mandal, S.P.S.R.Nellore District on the admitted amount from the date when the bills were submitted by the Petitioner for payment till the date of final payment, pending disposal of the Writ Petition and pass

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IA NO: 1 OF 2025

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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 grant leave to the Respondent No. 6 to file Counter Affidavit in the W.P. No.570 of 2024 and to pass

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Counsel for the Petitioner:

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1.CH C KRISHNA REDDY

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Counsel for the Respondent(S):

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1.GP FOR IRRI AND CAD (AP)

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2.GP FOR FINANCE PLANNING (AP)

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The Court made the following:

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VS,J W.P.NO.570 OF 2024

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ORDER:-

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Challenging the action of the respondents in not paying interest for execution of the works viz., 1) Construction of Check Dam across Chelu Vagu near Seenaiah fields of Yeturu Village, Chejarla Mandal, S.P.S.R. Nellore District. 2) Improvements to Doruvupadu Tank near Vavileru village, Chejarla Mandal, S.P.S.R. Nellore District. 3) Construction of check Dam across Nakkalagunta Vagu near Vavileru Village, Chejarla Mandal, S.P.S.R Nellore District. 4) Construction of Check Dam across Lakkavaagu near Subba Reddy fields of Vavileru Village, Chejarla Mandal, S.P.S.R. Nellore District, the present writ petition is filed.

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The case of the petitioner is that she was awarded a contract for execution of work i.e., 1) Construction of Check Dam across Chelu Vagu near Seenaiah fields of Yeturu Village, Chejarla Mandal, S.P.S.R. Nellore District. 2) Improvements to Doruvupadu Tank near Vavileru village, Chejarla Mandal, S.P.S.R. Nellore District. 3) Construction of check Dam across Nakkalagunta Vagu near Vavileru Village, Chejarla Mandal, S.P.S.R Nellore District. 4) Construction of Check Dam across Lakkavaagu near Subba Reddy fields of Vavileru Village,

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VS,J W.P.NO.570 OF 2024

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Chejarla Mandal, S.P.S.R. Nellore District and accordingly, the petitioner duly executed the said works. After completion of the said works, as the admitted amount was not paid, the petitioner filed W.P.Nos.5933, 6088, 6400 and 6528 of 2022, wherein this Court granted interim directions, directing the respondents to pay the approved and final bill amounts due to the petitioner within a period of six (06) weeks, from the date of receipt of a copy of the order. Since the interim directions were not complied with, the petitioner filed a contempt case before this Court and then the respondents paid the admitted amounts for the execution of the said works, but the respondents have not paid the interest on the admitted amount. Aggrieved by the action of the respondents in not paying the interest for the amounts, the present writ petition came to be filed.

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Heard the learned counsel for the petitioner and the learned Assistant Government Pleader for Irrigation.

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Under similar circumstances, the Hon’ble Division Bench of this Court in W.A.No.60 of 2025, duly relying upon the principle laid down in “ Union of India V. Bright Power Projects (India)

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VS,J W.P.NO.570 OF 2024

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(P) Ltd.,¹ , wherein the Hon’ble Supreme Court has categorically held that when parties to the contract had agreed to the fact that interest would not be awarded on the amount payable to the contractor under the contract, they were bound by their understanding, however, held that this would not preclude the rights of the parties to agitate their respective claims and counter claims before an appropriate forum, in accordance with law.

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In view of the same, the writ petition is disposed of in similar lines as in W.A.No.60 of 2025 directing the parties to agitate their respective claim with regard to interest and counter claim before an appropriate forum, in accordance with law. No costs.

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Miscellaneous petitions pending, if any, in this Writ Petition

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shall stand closed.

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__________________ JUSTICE V.SUJATHA

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Dated: 15.09.2025 LSP

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1 (2015) 9 SCC 695

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