Tiyyagura Koti Reddy vs. The State Of Andhra Pradesh
Held
The Court held that the non-payment of admitted dues by the respondents was arbitrary, aligning with previous judgments of the Court, including the learned Single Judge's order in W.P.No.10038 of 2021 and batch. Regarding the interest, the Court directed the respondents to release the principal amount of Rs. 4,95,268/- to the petitioner along with interest at the rate of 6% per annum. This direction was based on the judgment of the Division Bench of the High Court in Writ Appeal No.724 of 2021 and batch dated 12.10.2023. The Court also clarified that it would be open for the petitioner to pursue a claim for a higher rate of interest, if applicable, in an appropriate forum. The respondents were directed to make the payment within six weeks from the date of receipt of the order.
Facts
The petitioner, who was awarded contract works in Krishna District, approached the High Court by way of a writ petition seeking payment of Rs. 4,95,268/- for executed contract works. The petitioner contended that despite the respondents admitting the entitlement to the sum, payment was not being made, which was considered arbitrary. The respondents, through the learned Government Pleader, admitted the claim and stated that payment was contingent on the release of the Line of Credit (LOC) and subsequent uploading of bills in the CFMS system. Instructions from the Executive Engineer, Gudivada, dated 06.11.2023 and 16.11.2023 were placed on record.
Key Issues
1. Whether the non-payment of admitted dues to the petitioner by the respondents is arbitrary and warrants the interference of this Court, considering the petitioner's contention of arbitrary and high-handed action? 2. Whether the respondents are liable to pay interest on the delayed payment of Rs. 4,95,268/-, and if so, at what rate? Petitioner's Arguments: The petitioner argued that the non-payment of the admitted sum was arbitrary and high-handed, requiring judicial intervention. They relied on various orders of the Court, including a learned Single Judge's order dated 05.10.2021 in W.P.No.10038 of 2021 and batch, which held such non-payment as arbitrary and requiring prompt clearance. Revenue/State's Arguments: The learned Government Pleader for Irrigation admitted the petitioner's claim and submitted that payment would be made after the release of the LOC and uploading of bills in the CFMS. They relied on instructions received from the Executive Engineer, Gudivada.
AI-generated summary — verify with the full judgment below
THE HON’BLE SRI JUSTICE VENKATESWARLU NIMMAGADDA
WRIT PETITION No.7266 of 2023 ORDER:
The petitioner had been awarded various contract works under the subject scheme in Krishna District. After execution of the said contract, a final bill was prepared for a sum of Rs.4,95,268/- as per the sanctioned orders. 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.
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 for Irrigation while admitting about the claim of the petitioner p
The judgment continues below.
Read the full judgment
A free account opens 10 full GST judgments a month (one account works on both bharattax.net and this site). Re-reading one you have already opened does not count again.
The summary, the parties, the sections and the citations above are open to everyone and always will be. Only the text of the order and the PDF are metered.
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.