BharatTaxGST

J Rambabu vs. The State Of Ap

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WP/27952/2025HC Andhra PradeshGSTCNR APHC01053776202526 October 2025Bench: V.SUJATHA7 pages
For Petitioner: ANNAMNEEDI BALAKRISHNAFor Respondent: GP FOR IRRI AND CAD, GP FOR FINANCE PLANNING
AI SummaryAllowed

Facts

The petitioner, a contractor, completed several weed removal works for the Irrigation department as per agreements. The department issued quality control certificates for the completed works, but failed to release the payment of approximately Rs. 17.91 lakhs plus GST.

Held

The Court directed the respondents to release the admitted amounts as per the quality control certificates within three months. The Court also stated that the interest component would be payable if the agreement stipulated it.

Key Issues

The primary issue was the non-release of payment for completed contract works by the government department. The secondary issue concerned the entitlement to interest on the delayed payment.

AI-generated summary — verify with the full judgment below

Cause title — parties, addresses and appearances
APHC010537762025 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3333] MONDAY,THE TWENTY SEVENTH DAY OF OCTOBER TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SMT JUSTICE V.SUJATHA WRIT PETITION NO: 27952/2025 Between: 1. J RAMBABU, S/O. J. VERRIYYA, AGED ABOUT 42 YEARS, OCC CONTRACTOR, R/O. D.NO. 6-65, DEVAGUPTAM, ALLAVARAM, DR. B. R. AMBEDKAR KONASEEMA DISTRICT. ...PETITIONER AND 1. THE STATE OF AP, REP BY ITS PRINCIPLE 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, AMALAPURAM, DR. B. R. AMBEDKAR KONASEEMA DISTRICT. 4. THE ENGINEER INCHIEF MINOR AND MAJOR IRRIGATION DEPARTMENT, GOVERNMENT OF ANDHRA PRADESH, IRRIGATION BHAVAN, VIJAYAWADA, NTR DISTRICT. 5. THE SUPERINTENDENT ENGINEER, WATER RESOURCES DEPARTMENT, DOWALESWARAM, EAST GODAVARI DISTRICT. 6. THE EXECUTIVE ENGINEER IRRIGATION AND WATER RESOURCES DEPARTMENT, GODAVARI CENTRAL DIVISION, VS,J W.P No.27952 of 2025 2 AMALAPURAM, EAST GODAVARI DISTRICT. 7. THE COMMISSIONER COMMAND DEVELOPMENT AUTHORITY CAD WATER RESOURCES DEPARTMENT, GOVERNMENT OF ANDHRA PRADESH, VIJAYAWADA, NTR DISTRICT. 8. THE DIRECTOR OF WORKS AND ACCOUNT OFFICER, NIDHI BHAVAN, MANGALAGIRI, GUNTUR DISTRICT. 9. THE PAY AND ACCOUNT OFFICER, , DOWILESWARAM, EAST GODAVARI 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 topleased to issue an appropriate Writ, Order or direction more particularly one in the nature of WRIT OF MANDAMUS or any other appropriate writ or direction declaring the action of the respondents in not releasing the total due payments of Rs. 17,91,749/- 18percent GST, 1) Amount of Rs. 3,76,648 vide Agreement No. 43/2023-24, for which the work Removal of weed from Benda Canal Km. 48.600 to 58.000 Km in both Khariff and Rabi Season 2023-24 Amalapuram Mandal, 2) Amount Rs. 3,92,573, vide its Agreement No. 44/2023-24, for which the work Removal of weed from Kaushika channel Km.0.00 to 6.90Km in both Khariff and Rabi Season 2023- 24 Amalapuram Mandal, 3) Amount of Rs. 3,78,254 vide Agreement No. 45/2023-24, for which the work Removal of weed from Allavaram, Mogalmuru, godilanka and Relligedda Channels for the year 2023-24 in both Khariff and Rabi Season 2023-24 Amalapuram Mandal, 4) Amount of Rs. 4,01,054 videAgreement No. 46/2023-24, for which the work Removal of weed from gundupudi, D. Ravulapalem, samantakuru,Benda no. 1,2,3,4 channels inAllavaram mandal for the year 2023-24 in both Khariff and Rabi Season 5) Amount of Rs. 2,43,220/- vide2023-24 Amalapuram Mandal Agreement No. 47/2023-24, for which the work Removal of weed from Benda Canal from Km. 58.00 to 61.400 Km and chunchula Channel for the year 2023-24 in both Khariff and Rabi Season 2023-24 Amalapuram Mandal with interest of execution and completion of O 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 21 of the Constitution of India and consequentially to direct the respondents releasing the final bills of total VS,J W.P No.27952 of 2025 3 amount worth of Rs. 17,91,749 18percent GST for execution of completion of O M works under IrrigationDepartment as per agreement, to the petitioner forthwith, and pass IA NO: 1 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 leased to direct the respondents releasing the Final Bills of total amount worth of Rs. 17,91,749/- + 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 pass Counsel for the Petitioner: 1. ANNAMNEEDI BALAKRISHNA Counsel for the Respondent(S): 1. GP FOR IRRI AND CAD 2. GP FOR FINANCE PLANNING VS,J W.P No.27952 of 2025 4

The Court made the following Order:

The present writ petition came to be 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.17,91,749/- + 18% GST, 1) Amount of Rs.3,76,648 vide Agreement No.43/2023-24, for which the work “Removal of weed from Benda Canal Km.48.600 to 58.000 Km in both Khariff and Rabi Season 2023- 24 Amalapuram Mandal”, 2) Amount Rs.3,92,573, vide its Agreement No. 44/2023-24, for which the work “Removal of weed from Kaushika channel Km.0.00 to 6.90 Km in both Khariff and Rabi Season 2023-24 Amalapuram Mandal”, 3) Amount of Rs.3,78,254 vide Agreement No.45/2023-24, for which the work “Removal of weed from Allavaram, Mogalmuru, godilanka and Relligedda Channels for the year 2023-24 in both Khariff and Rabi Season 2023-24 Amalapuram Mandal”, 4) Amount of Rs.4,01,054 vide Agreement No.46/2023-24, for which the work “Removal of weed from Gundupudi, D. Ravulapalem, Samantakuru, Benda no.1,2,3,4 channels in Allavaram Mandal for the year 2023-24 in both Khariff and Rabi Season 2023-24 Amalapuram Mandal” 5) Amount of Rs.2,43,220/- vide Agreement No.47/2023-24, for which the work “Removal of weed from Benda Canal from Km.58.00 to 61.400 Km and Chunchula Channel for the year 2023-24 in both Khariff and Rabi Season 2023-24 Amalapuram Mandal” with interest of execution and completion of O & 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 & 21 of the Constitution of India and consequentially to direct the respondents releasing the final bills of total amount worth of Rs. 17,91,749 + 18% GST for execution of completion of O & M works under Irrigation Department as per agreement, to the petitioner forthwith, and pass such other order or orders…”

2.

The petitioner had been awarded the contract of works i.e., 1) Removal of weed from Benda Canal Km.48.600 to 58.000 Km in both Khariff and Rabi Season 2023-24 Amalapuram Mandal as per the Agreement No.43/2023-24 dated 03.08.2023 2) Removal of weed from Kaushika channel Km.0.00 to 6.90 Km in both Khariff and Rabi Season 2023-24 Amalapuram Mandal as per the Agreement No.44/2023-24 dated 03.08.2023, 3) Removal of weed from Allavaram, Mogalmuru, Godilanka and Relligedda Channels for the year 2023-24 in both Khariff and Rabi Season 2023-24 Amalapuram Mandal as per the Agreement No.45/2023-24 dated 03.08.2023, 4) Removal of weed from Gundupudi, D. Ravulapalem, Samantakuru, Benda no.1,2,3,4 channels in Allavaram Mandal for the year 2023-24 in both Khariff and Rabi Season 2023-24 Amalapuram Mandal as per the Agreement No.46/2023-24 5) Removal of weed from Benda Canal from Km.58.00 to 61.400 Km and Chunchula Channel for the year 2023-24 in both Khariff and Rabi Season 2023-24 Amalapuram Mandal as per the Agreement No.47/2023-24 dated 03.08.2023. After execution of the aforementioned contract works, the respondents issued quality control certificates dated 03.10.2025 to a tune of Rs.3,76,648/-, Rs.3,92,573/-, Rs.3,78,254/-, Rs.4,01,054/- and Rs.2,43,228/- 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.

3.

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 amount, 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.

Learned Assistant Government Pleader on oral instructions, submits that the admitted amount payable to the petitioner as per the quality control certificates dated 03.10.2025 to a tune of Rs.3,76,648/-, Rs.3,92,573/-, Rs.3,78,254/-, Rs.4,01,054/- and Rs.2,43,228/- respectively. He further submits 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.

6.

Learned counsel for the petitioner agreed for payment of final bill as per the quality control certificates as stated by the learned Assistant Government Pleader.

7.

In view of the facts and circumstances of the case, 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 amounts to the petitioner in accordance with the quality control certificates dated 03.10.2025 to a tune of Rs.3,76,648/-, Rs.3,92,573/-, Rs.3,78,254/-, Rs.4,01,054/- and Rs.2,43,228/- respectively, issued by the respondents, within a period of three (03) months from the date of receipt of a copy of this order.

As far as interest component is concerned, if there is any subsisting clause in the agreement/work order envisaging payment of interest upon any amounts which is due and payable, the same is binding upon both the parties. There shall be no order as to costs.

Consequently, Miscellaneous Petitions, if any, pending shall stand closed.

______________________

JUSTICE V.SUJATHA Date: 27.10.2025 Ksj

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.