Murapaka Jyothi Lakshmi vs. The State Of Andhra Pradesh
Held
The Court held that the non-payment of dues, despite admission of entitlement, was arbitrary. The Court directed the respondents to release the amount of Rs.5,02,963/- to the petitioner. Furthermore, in view of a Division Bench judgment in Writ Appeal No.724 of 2021 and batch dated 12.10.2023, the respondents were also directed to pay interest at the rate of 6% per annum on the said amount. This payment is to be made within six weeks from the date of receipt of the order. The petitioner was also granted liberty to agitate for a higher rate of interest, if applicable, in an appropriate forum. The Court did not expressly leave any issue undecided, as the primary issue of payment and interest was addressed.
Facts
The petitioner, awarded a contract for works under the “Neeru-Chettu” scheme in Vizianagaram District, sought payment of Rs.5,02,963/- for executed work. The petitioner contended that despite admission of entitlement, payment was withheld arbitrarily. The respondents, through the Executive Engineer, stated that payment was delayed due to the petitioner's failure to submit GST particulars. The learned Government Pleader for Irrigation confirmed that upon submission of GST particulars, the bill would be processed and paid. The Court noted previous judgments on arbitrary non-payment of dues.
Key Issues
1. Whether the non-payment of the admitted sum of Rs.5,02,963/- to the petitioner is arbitrary and requires interference by this Court, particularly in light of the petitioner's admitted entitlement and the respondents' delay in payment, potentially violating principles of natural justice and administrative law. 2. Whether the respondents' insistence on the submission of GST particulars as a prerequisite for payment, when the petitioner claims entitlement to the full amount, constitutes an unreasonable or arbitrary condition, and if so, what is the appropriate relief. Petitioner's contentions: The respondents admitted the petitioner's entitlement to Rs.5,02,963/- but failed to make the payment, which is arbitrary and high-handed. The Court's interference is sought. The petitioner relies on previous orders of this Court, including W.P.No.10038 of 2021 and batch dated 05.10.2021, which held non-payment of dues as arbitrary. Respondents' contentions: The learned Government Pleader for Irrigation, admitting the claim, submitted that payment was withheld because the petitioner had not submitted GST particulars for processing. Upon submission of these particulars, the bill would be processed and paid. The respondents rely on instructions from the Executive Engineer, Vizianagaram, dated 12.07.2023.
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THE HON’BLE SRI JUSTICE VENKATESWARLU NIMMAGADDA
WRIT PETITION No.11610 of 2023 ORDER:
The petitioner had been awarded the contract of various works under the scheme of “Neeru-Chettu” in Vizianagaram District. After execution of the said contract, a final bill was prepared for a sum of Rs.5,02,963/- 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
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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 a
The judgment continues below.
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