Teja Publicities Vs The State of Andhra Pradesh

TEJA PUBLICITIES, REPRESENTED BY ITS MANAGING PARTNER MRS EADALA NAGAMANI W/O E. CHANDRESWARARAO, AGED 49 YEARS, R/O DOOR. NO. 16-03-21/764, BHAGATH SINGH NAGAR, KUKATPALLI, HYDERABAD 500072.

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...PETITIONER

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AND

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THE STATE OF ANDHRA PRADESH, REPRESENTED BY THE PRINCIPAL SECRETARY DEPARTMENT OF INDUSTRIES, VELAGAPUDI, AMARAVATHI, GUNTUR DISTRICT.

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THE COMMISSIONER OF INDUSTRIES, DEPARTMENT OF INDUSTRY, GOVT OF AP, 8TH FLOOR APIIC BUILDING, MANGALAGIRI, GUNTUR DISTRICT.

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THE COMMISSIONER, DEPARTMENT OF INFORMATION AND PUBLIC RELATIONS, 2RD FLOOR, NTR ADMINISTRATIVE BLOCK, PANDIT NEHRU BUS STATION, VIJAYAWADA.

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THE STATE OF ANDHRA PRADESH, REP BY ITS PRINCIPAL SECRETARY, FINANCE AND PLANNING DEPARTMENT, SECRETARIAT BUILDING, VELAGAPUDI, AMARAVATHI, GUNTUR DISTRICT. R4 IS IMPLEADED AS PER THE COURT'S ORDER DT.06.03.2025 IN I.A.NO.01 OF 2025.

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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 to for the reasons mentioned in the accompanying affidavit the Hon’ble Court may be pleased to pass an order or Writ more particularly one in the nature of Writ of Mandamus directing the respondents, more particularly the respondent No. 2 to make the payment of Rs 2,02,54,034 along with interest at the rate of 24 percent per annum to the petitioner by stipulating a nearest date and pass such other order or orders that this Hon’ble Court may deem fit and proper in the facts and the circumstances of the case. Prayer amended as per the Court Order dt.09.09.2024 vide orders passed in I.A.No. 01 of 2024.

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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 petition, the High Court may be pleased to pass an order or Writ more particularly one in the nature of Writ of Mandamus directing the respondents, more particularly the respondent No.2 to make the payment of Rs 2,02,54,034 along with interest at the rate of 24% per annum to the petitioner by stipulating a nearest date and pass such other order or orders that this Hon’ble Court may deem fit and proper in the facts and the circumstances of the case. Instead For the reasons mentioned in the accompanying affidavit the Hon’ble Court may be pleased to pass an order or Writ more particularly one m the nature of Writ of Mandamus directing the respondents particularly the respondent No.2 to make the payment of Rs 2,02,54,034 to the petitioner by stipulating a nearest date 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 to implead the “State of Andhra Pradesh, Rep, its Principal Secretary, Finance and Planning Department, Secretariat Building, Velagapudi Amaravathi, Guntur District" as respondent no.4th Writ Petition as well as miscellaneous petition and pass

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Counsel for the Petitioner:

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1.Y KOTESWARA RAO

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Counsel for the Respondent(S):

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1.GP FOR INDUSTRIES COMMERCE

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The Court made the following:

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ORDER:

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This Writ Petition under Article 226 of the Constitution of India is filed for the following main relief:

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“ to pass an order or Writ more particularly one in the nature of Writ of Mandamus directing the respondents more particularly the respondent No 2 to make the payment of Rs 2,02,54,034 along with interest at the rate of 24 percent per annum to the petitioner by stipulating a nearest date and pass such other order or orders that this Hon’ble Court may deem fit and proper in the facts and the circumstances of the case”

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The sum and substance of the writ petition is that the petitioner is a firm

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empanelled with the Government of Andhra Pradesh vide ltr/No.00057/ADVI/2015/24, dated04.12.2017. As per the instructions issued by the 3^rd respondent vide release order No.8/DisplayAgency-PP/Advt.1/201819, dated 23.07.2018, issued in favor of the petitioner. The petitioner initiated appropriate steps and published an advertisement in the leading newspapers on the specified date. Subsequently, the petitioner raised a bill for an amount of Rs.2,02,54,034/- (invoice no.553 dt:31.07.2018) and submitted the same to the 2^nd respondent for release. However, the said bill has been pending since 2018, despite the petitioner’s repeated requests, the amount has not been released. Thus, seeking the release of an amount of rs.2,02,54,034/-, the instant Writ petition is filed.

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During the pendency of the writ petition, the petitioner filed I.A.No.1 of 2024 for the release of the above-stated amount along with interest at 24% per annum.

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When the matter is taken up for hearing, Sri N. Krishnamurthy, advocate representing learned counsel for the petitioner, and Sri Y. Koteswara Rao fairly submits that after filing the instant Writ petition, the petitioner received an amount of Rs.2,02,54,034/- but not the portion of interest from the respondent authorities.

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Apparently, the respondent authorities have not filed any counter in the

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lis . However, the learned Government pleader stated the view of the recent division bench order dated 11.02.2025 in W.A.No.60 of 2025, the petitioner is not entitled to the interest portion.

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Heard the learned counsel for the petitioner and the learned Assistant Government Pleader for Mines and Geology, keeping in view the Rival Submission, it is not in dispute that the petitioner’s claim for an amount of Rs.2,02,54,034/- was released by the Respondent authorities without the interest portion.

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In respect of claiming the interest component, it is appropriate to mention the decision of the Hon’ble Supreme Court of India (3-Judge) Bench in Union of India v. Bright Power Projects (India) (P) Ltd¹ held that unless and until parties to the contract agree in their specific terms of entitlement of

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1 (2015) 9 SCC 695

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interest on the payment, they are not entitled to claim interest component. Relevant portion of the above said judgment reads as under:

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10. “….so far as payment of interest on government securities, which had been deposited by the respondent contractor with the appellant concerned, it was specifically stated that the said amount was to be returned to the contractor along with interest accrued thereon, but so far as the payment of interest on the amount payable to the contractor under the contract was concerned, there was a specific term that no interest was to be paid thereon.”

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“….11. 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, in our opinion, they were bound by their understanding. Having once agreed that the contractor would not claim any interest on the amount to be paid under the contract, he could not have claimed interest either before a civil court or before an Arbitral Tribunal.”

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Keeping in view of the above well-settled legal principles, the recent division bench dictum of this Hon’ble Court reiterated the above principle held in The Managing Director and others Vs. Sree Balaji Constructions and others in Writ Appeal No.60 of 2025.

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Coming to the instant case, the petitioner did not file a copy of the agreement, which stipulates the entitlement to the interest portion on the claimed amount. In the absence of the said pre-requisite, the petitioner is not entitled to claim interest before this Court.

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Therefore, the Writ petition is disposed of by leaving it open to the petitioner to approach the appropriate forum with all pre-requisite documents and work out his legal remedies in accordance with law.

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There shall be no order as to costs. As a sequel, all pending applications shall stand closed.

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_______________________________ JUSTICE MAHESWARA RAO KUNCHEAM

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Date: 27.02.2026. JLSR/LSP

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300

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THE HON’BLE SRI JUSTICE MAHESWARA RAO KUNCHEAM

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WRIT PETITION No.32111 of 2023