Kommana Bullaiah vs. The State Of Andhra Pradesh
Original PDF →Facts
The petitioner, a contractor, completed several works awarded by the Irrigation Department. Despite the respondents admitting the amounts due as per quality control certificates, payment was not made. The petitioner sought a writ of mandamus to direct the respondents to release the pending bills.
Held
The Court directed the respondents to release the admitted amounts to the petitioner within six months from the date of receiving the order. The issue of interest was made subject to any subsisting clause in the agreement/work order.
Key Issues
Whether the respondents' inaction in releasing payment for completed works is arbitrary and illegal, and if the petitioner is entitled to interest on the delayed payment.
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Cause title — parties, addresses and appearances
ORDER:-
This writ petition is filed under Article 226 of the Constitution of India seeking the following relief: “….to issue order or orders direction or directions. Writ or Writs particularly one in the nature Writ of Mandamous or any appropriate writ declare the action of the respondents in not paying the bills for execution of works by the Petitioner works under (i). Agreement No.76/2022-23, dtd.14-06-2022, (ii). Agreement No.74/2022-23, dtd.14-06-2022, (iii) Agreement No.75/2022-23, dtd.14-06-2022, (iv). Agreement No.73/2022-23, dtd.14-06-2022, (v). Agreement No.72/2022-23, dtd. 14-06-2022, (vi). Agreement No.25/2022-23, dtd. 14-06-2022, (vii). Agreement No.26/2022-23, dtd.14-06-2022 and (viii). Agreement No.27/2022-23, dtd. 14-06-2022 awarded by the 6th and 7th respondents which comes to a total amount of Rs.72,77,909/- to the petitioner, with 12% GST and interest till to day from the date of completion of respective works as illegal, arbitrary violation of principles of natural justice and violative of Article 14, 19 (i) (g), 21 of the Constitution of India, consequently direct the respondents to release the bills for the above completed works immediately...”
The petitioner had been awarded the contract of work(s) by the Irrigation Department. After execution of the said contract, the respondents also issued quality control certificates to a tune of Rs.4,20,634/-, Rs.7,47,770/-, Rs.7,22,737/-, Rs.8,68,541/-, W.P.NO.8799 OF 2024 Rs.7,29,846/-, Rs.5,08,275/-, Rs.4,14,780/- and Rs.19,22,419/- respectively. As the payment of the said amounts has not been made by the respondents, the petitioner has approached this Court by way of this writ petition.
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 non-payment of money is clearly arbitrary and high-handed requiring the interference of this Court.
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.
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 quality control certificates filed by the petitioner to a tune of Rs.4,20,634/-, Rs.7,47,770/-, Rs.7,22,737/-, W.P.NO.8799 OF 2024 Rs.8,68,541/-, Rs.7,29,846/-, Rs.5,08,275/-, Rs.4,14,780/- and Rs.19,22,419/- respectively.
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 with the quality control certificates dated 16.10.2023, 16.10.2023, 16.10.2023, 2.2.2024, 30.8.2023, 7.7.2023, 7.7.2023 and 17.08.2023 issued by the respondents within a period of six (06) months from the date of receipt of a copy of this order. No costs.
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.
Consequently, Miscellaneous Petitions, if any, pending in this Writ Petition shall stand closed.
____________________ JUSTICE V.SUJATHA Date :29.10.2025 LSP W.P.NO.8799 OF 2024
165
THE HONOURABLE SMT JUSTICE V.SUJATHA
WRIT PETITION NO: 8799/2024
2025 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.