Psr Constructions Vs the State of Ap

PSR CONSTRUCTIONS, REP. BY ITS MANAGING PARTNER, SRI K. MADHAVA RAO, S/O. LATE PEDDAMALAKONDAIAH, AGED ABOUT 43 YEARS, R/O. DARAKANIPADU VILLAGE, GUDLUR MANDAL, PRAKASAM DISTRICT.

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...PETITIONER

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AND

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

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THE STATE OF ANDHRA PRADESH, REP. BY ITS PRINCIPAL SECRETARY TO GOVERNMENT, DEPARTMENT OF FINANCE AND PLANNING, SECRETARIAT, VELAGAPUDI, AMARAVATHI, GUNTUR 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 an appropriate writ, order or direction, more particularly one in the nature of Writ of Mandamus declaring the action of the respondent authorities in not releasing the admitted amount to the petitioner for the execution of worksinrelated to Agreement No. SE/2022-23, dated 0207-2022, VideCFMS Bill Token NO. 2024-1534610, respectively arbitrary, illegal, contrary to Law and against the Principles of Natural Justice and against the Norms of the Public Policy and to issue consequential direction

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VS,J W.P.NO.6638 OF 2025

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directing the respondent authorities to release the amounts payable to the petitioner with an interest at 18PERCENT per annum and to 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 direct the respondent authorities to release admitted amount to the petitioner for the execution of works inrelated to Agreement No. 07SE/2022-23, dated 02-07-2022, vide CFMS Bill Token NO. 2024-1534610 respectively, pending disposal of the above writ petition and to pass

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Counsel for the Petitioner:

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1.VENKAT SAILENDRA G

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Counsel for the Respondent(S):

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1.GP FOR IRRI AND CAD

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2.GP FOR FINANCE PLANNING

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The Court made the following:

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VS,J W.P.NO.6638 OF 2025

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ORDER:-

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This writ petition is filed under Article 226 of the Constitution of India seeking the following relief:

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“….to issue an appropriate writ, order or direction, more particularly one in the nature of Writ of Mandamus declaring the action of the respondent authorities in not releasing the admitted amount to the petitioner for the execution of works in related to Agreement No.SE/2022-23, dated 02-072022, Vide CFMS Bill Token NO.2024-1534610, respectively as arbitrary, illegal, contrary to Law and against the Principles of Natural Justice and against the Norms of the Public Policy and to issue consequential direction directing the respondent authorities to release the amounts payable to the petitioner with an interest at 18% per annum...”

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The petitioner had been awarded the contract of work(s) by the

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Irrigation Department. The case of the petitioner is that though the petitioner is liable to be paid the due amount as per the Agreement No.SE/2022-23, dated 02-07-2022, Vide CFMS Bill Token NO.2024-1534610, till date the

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payment of the said amounts have not been made by the respondents. As such, the petitioner has approached this Court by way of this writ petition.

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It is the contention of the petitioner that even though the respondents admitted that the petitioner is entitled for payment of the aforesaid sum of money, no payment is being made. The petitioner contends that such nonpayment of money is clearly arbitrary and high-handed requiring the interference of this Court.

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This Court, in various orders, including the judgment of a learned Single

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Judge of this Court dated 05.10.2021 in W.P.No.10038 of 2021 and batch had

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taken the view that such non-payment of dues is arbitrary and that such dues need to be cleared by the respondents at the earliest.

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Respondent No.1 filed a counter stating that the petitioner’s works bill for a gross amount of Rs.2,68,74,946.40/-, after deductions amounting to Rs.11,67,032/- and net amount of Rs.2,57,07,914/- is approved and bill was submitted to CFMS for arranging payment vide CFMS bill No.2025-639662. However, the Government has instructed the concerned authorities to upload the said bills on the Nidhi Portal, and the respondents are waiting for the fund clearance.

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In view of the facts and circumstances submitted in the affidavit, and the directions of this Court in various cases and after hearing the submissions of learned counsel for the petitioner, this Writ Petition is disposed of by directing the respondents to make the said payments as expeditiously as possible, preferable within a period of six (06) months, from the date of receipt of a copy of this order. No costs.

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As far as interest component is concerned, if there is any subsisting clause in the agreement/work order envisaging payment of interest upon any amount which is due and payable, the same is binding upon both the parties.

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Consequently, Miscellaneous Petitions, if any, pending in this Writ Petition shall stand closed.

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____________________ JUSTICE V.SUJATHA

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Date :16.09.2025 LSP

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