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M/S Power Solutions vs. The State Of Andhra Pradesh

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WP/29689/2025HC Andhra PradeshGSTCNR APHC01057139202505 January 2026Bench: V.SUJATHA6 pages
For Petitioner: ANNAMNEEDI BALAKRISHNAFor Respondent: GP FOR IRRI AND CAD, GP FOR FINANCE PLANNING
AI SummaryAllowed

Facts

The petitioner completed contract works for the Irrigation Department and was issued quality control certificates for a total of Rs. 1,31,68,574/-. However, the respondents failed to release the payment, citing budget constraints.

Held

The High Court directed the respondents to release the admitted payment amount within six months. The court also stated that any interest due as per the agreement would be binding on both parties.

Key Issues

The primary issue was the arbitrary inaction of the respondents in releasing the final bill amount for completed works. The court also considered the entitlement to interest as per the agreement.

Sections Cited

Article 226

AI-generated summary — verify with the full judgment below

Cause title — parties, addresses and appearances
APHC010571392025 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3333] TUESDAY,THE SIXTH DAY OF JANUARY TWO THOUSAND AND TWENTY SIX PRESENT THE HONOURABLE SMT JUSTICE V.SUJATHA WRIT PETITION NO: 29689/2025 Between: 1. M/S POWER SOLUTIONS,, PROP.KOLUKULURI VISWANADHAM, S/O. NAGESWARA RAO AGED ABOUT 45 YEARS, VILLA NO.4, ARTECUBATIC,SAINAGAR,MORAMPUDI (RURAL), EAST GODAVARI DISTRICT-533107. ...PETITIONER AND 1. THE STATE OF ANDHRA PRADESH, REP BY ITS PRINCIPAL SECRETARY TO GOVERNMENT IRRIGATION AND CAD WATER RESOURCES DEPARTMENT, SECRETARIAT BUILDINGS, A.P. SECRETARIAT, VELAGAPUDI, AMARAVATHI, GUNTUR DISTRICT. 2. THE STATE OF ANDHRA PRADESH, REP. BY ITS PRINCIPAL SECRETARY, FINANCE DEPARTMENT, SECRETARIAT BUILDINGS, VELAGAPUDI, AMARAVATI, GUNTUR DISTRICT 3. THE DISTRICT COLLECTOR IRRIGATION WING, DR.B.R.AMBEDKAR KONASEEMA DISTRICT, 2 VS,J W.P.NO.29689 OF 2025 AMALAPURAM. 4. THE ENGINEER INCHIEF, MINOR AND MAJOR IRRIGATION DEPARTMENT, GOVERNMENT OF ANDHRA PRADESH, IRRIGATION BHAVAN, VIJAYAWADA, NTR DISTRICT. 5. THE SUPERINTENDING ENGINEER, IRRIGATION AND WATER RESOURCES DEPARTMENT, IRRIGATION CIRCLE, DOWLAISWARAM, EAST GODAVARI DISTRICT. 6. THE EXECUTIVE ENGINEER, IRRIGATION AND WATER, RESOURCES DEPARTMENT, GODAVARI CENTRAL DIVISION, AMALAPURAM, DR.B.R.AMBEDKAR KONASEEMA 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 declare the inaction on part of the respondents herein not releasing the final bill amount worth of Rs. 1,31,68,574/-, 1) Amount of Rs. 1,31,68,574/- vide Agreement No. 37DC/2019-20, for which the work Annual Maintenance for operation and maintenance of 3 stages of Chagalnadu lift Irrigation scheme for the year 2019-20', with interest of execution and completion of O and M works under Irrigation department as per agreement, to the petitioner till today and causing heavy loss with interest even though total work was completed as per the agreement as illegal, arbitrary and violative of Article 14, 16 and 21 of the Constitution of India and consequentially to direct the respondents releasing the final bills of total amount worth of Rs. 1,31,68,574/- plus 18percent GST for execution of completion of O and M works under Irrigation Department as per agreement, to the petitioner forthwith, and pass IA NO: 1 OF 2025 3 VS,J W.P.NO.29689 OF 2025 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 respondents releasing the Final Bills of total amount worth of Rs. 1,31,68,574/- + 18% GST, for execution of completion of O & M works under Irrigation Department as per agreement, to the petitioner forthwith, pending disposal of the above writ petition and pas Counsel for the Petitioner: 1. ANNAMNEEDI BALAKRISHNA Counsel for the Respondent(S): 1. GP FOR IRRI AND CAD 2. GP FOR FINANCE PLANNING 4 VS,J W.P.NO.29689 OF 2025

The Court made the following ORDER:

This writ petition is filed under Article 226 of the Constitution of India seeking the following relief: “…. to issue an appropriate Writ, Order or direction more particularly one in the nature of Writ of Mandamus declare the inaction on part of the respondents herein not releasing the final bill amount worth of Rs. 1,31,68,574/-, 1) Amount of Rs. 1,31,68,574/- vide Agreement No. 37DC/2019-20, for which the work Annual Maintenance for operation and maintenance of 3 stages of Chagalnadu lift Irrigation scheme for the year 2019-20', with interest of execution and completion of O and M works under Irrigation department as per agreement, to the petitioner till today and causing heavy loss with interest even though total work was completed as per the agreement as illegal, arbitrary and violative of Article 14, 16 and 21 of the Constitution of India and consequentially to direct the respondents releasing the final bills of total amount worth of Rs. 1,31,68,574/- plus 18 percent GST for execution of completion of O and M works under Irrigation Department as per agreement, to the petitioner forthwith, and pass.”

2.

The petitioner had been awarded the contract of work(s) by the Irrigation Department. After execution of the said contract, the respondents also issued three quality control certificates to a tune of Rs.3,89,931/-, Rs.60,13,224/-, and Rs.67,65,419/- respectively, As the payment of the said amount has not been made by the respondents, the petitioner has approached this Court by way of this writ petition.

3.

It is the contention of the petitioner that even though the respondents admitted that the petitioner is entitled for payment of W.P.NO.29689 OF 2025 the aforesaid sum of money, no payment is being made. The petitioner contends that such non-payment of money is clearly arbitrary and high-handed requiring the interference of this Court.

4.

This Court, in various orders, including the judgment of a learned Single Judge of this Court dated 05.10.2021 in W.P.No.10038 of 2021 and batch had 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.

5.

On the other hand, learned Government Pleader placed oral instructions stated that since the budget was not released by the Government, the bills were not paid to the petitioner. Soon after release of the budget by the Government, the bills will be paid to the petitioner, however, admitted the amount payable to the petitioner as per the three quality control certificates filed by the petitioner to a tune of Rs.3,89,931/-, Rs.60,13,224/- and Rs.67,65,419/- respectively.

6.

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 with a direction to the respondents to release the amount to the petitioner in accordance W.P.NO.29689 OF 2025 with the quality control certificates dated 12.11.2020, 23.11.2020 and 01.03.2021 respectively issued by the respondents within a period of six (06) months from the date of receipt of a copy of this order. No costs.

7.

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.

8.

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

____________________ JUSTICE V.SUJATHA Date :06.01.2026 LSP

Reproduced from the public record of the Andhra Pradesh High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.