Kerala High Court
M/S. Abm4 Builders, Represented By Its ... vs Kerala Water Authority Represented By ... on 3 July, 2025
Author: N.Nagaresh
Bench: N.Nagaresh
2025:KER:48587
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR.JUSTICE N.NAGARESH
THURSDAY, THE 3RD DAY OF JULY 2025 / 12TH ASHADHA, 1947
WP(C) NO. 24277 OF 2025
PETITIONER:
M/S. ABM4 BUILDERS,
REPRESENTED BY ITS MANAGING PARTNER
V.P.MOHAMMED AYUB, AGED 64 YEARS
S/O MOHAMMED HAJI, NP 11/908, HOSPITAL ROAD,
NILAMBUR, MALAPPURAM RESIDING VALIYAPEEDIYAKKAL
HOUSE, ERANHIKODE.P.O.,EDAVANNA,
MALAPPURAM, PIN - 676541.
BY ADVS.
SRI.ELDHO PAUL
SMT.TESSY JOSE
RESPONDENTS:
1 KERALA WATER AUTHORITY
REPRESENTED BY MANAGING DIRECTOR
JALABHAVAN, THIRUVANANTHAPURAM, PIN - 695033.
2 THE SUPERINTENDING ENGINEER,
KERALA WATER AUTHORITY, PUBLIC HEALTH CIRCLE,
MALAPPURAM, PIN - 676504.
W.P.(C)No.24277 of 2025
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3 THE EXECUTIVE ENGINEER,
KERALA WATER AUTHORITY, PROJECT DIVISION,
MALAPPURAM-, PIN - 676505.
4 THE FINANCE MANAGER AND CHIEF ACCOUNTS OFFICER
KERALA WATER AUTHORITY, JALABHAVAN,
THIRUVANANTHAPURAM, PIN - 695033.
BY ADV. SRI. P.M. JOHNY, STANDING COUNSEL
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR
ADMISSION ON 03.07.2025, THE COURT ON THE SAME DAY
DELIVERED THE FOLLOWING:
W.P.(C)No.24277 of 2025
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JUDGMENT
Dated this the 3rd day of July, 2025 The writ petition is filed seeking to direct the 4 th respondent to issue Concurrence Certificate in favour of the petitioner to substitute Exts.P7, P10, P13 and P16 bills of the petitioner in order to release Exts.P1 to P4 Treasury Fixed Deposits.
2. The petitioner is a registered Firm undertaking contract works mainly of the Kerala Water Authority. The petitioner undertook four works of the respondents and the petitioner had deposited four Treasury Fixed Deposits before the office of the 2nd respondent as Performance Guarantee.
3. The petitioner, when faced with heavy financial constrains to continue the works due to pending of huge bills W.P.(C)No.24277 of 2025 :4: 2025:KER:48587 from KWA for long durations, requested the 4 th respondent on 20.06.2025, for the pledging of the four pending part bills of the above four works in order to release four Treasury Fixed Deposits. Pursuant to the request, the 3rd respondent also submitted a letter dated 24.06.2025 to the 4 th respondent for a concurrence of the same in favour of petitioner. The 3 rd respondent has issued indemnity certificate in favour of the petitioner.
4. The petitioner submits that crores of rupees are due to the petitioner from the respondent-Kerala Water Authority for the works undertaken and completed by the petitioner. As early as on 10.08.2020, GO(Rt) No.5989/2020/Fin. dated 16.10.2020 was issued by the Additional Chief Secretary, permitting the Contractors to accept the pending bills as Performance Guarantee for ongoing works. This Court, had in similar set of facts, permitted the petitioner W.P.(C)No.24277 of 2025 :5: 2025:KER:48587 therein to substitute the pending bills as against the performance guarantee by judgment in identical cases, contends the Counsel for the petitioner.
5. Heard the learned Counsel for the petitioner and the learned Standing Counsel appearing for the respondents.
6. I find that in the meanwhile, the 3rd respondent-Executive Engineer has given recommendation in this regard to the 4th respondent-Finance Manager. Therefore, the 4th respondent can give necessary Concurrence Certificate. On the basis of Concurrence Certificate, the 2 nd respondent can allow the substitution of Performance Guarantee.
7. On a consideration of the facts and the materials on record, especially that the 3 rd respondent has issued Exts.P7, P10, P13 and P16 bills, I am satisfied that the writ petition is to be allowed.
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2025:KER:48587 In the afore said circumstances, I allow the writ petition directing the 2nd respondent to substitute Exts.P1 to P4 Treasury Fixed Deposits by adjusting the amount from Exts.P7, P10, P13 and P16 bills. Needless to mention, the petitioner will have to execute the requisite undertaking / indemnity letter in favour of the respondents as per their regulations. The above exercise shall be carried out by the respondents within six weeks from the date of production of a certified copy of this judgment.
Sd/-
N. NAGARESH JUDGE ams W.P.(C)No.24277 of 2025 :7: 2025:KER:48587 APPENDIX OF WP(C) 24277/2025 PETITIONER EXHIBITS Exhibit P1 TRUE COPY OF THE TREASURY DEPOSIT CERTIFICATE SUBMITTED BY THE PETITIONER TO THE RESPONDENTS OFFICE, FOR THE AMOUNT OF RS.15,81,000/- WITH JL NO.1307922 DATED 26.10.2023 Exhibit P2 TRUE COPY OF THE TREASURY DEPOSIT CERTIFICATE SUBMITTED BY THE PETITIONER FOR THE AMOUNT OF RS.29,60,000/- WITH JL NO.1251520 DATED 07.11.2023 Exhibit P3 TRUE COPY OF THE TREASURY DEPOSIT CERTIFICATE SUBMITTED BY THE PETITIONER FOR THE AMOUNT OF RS.16,61,000/- WITH JL NO. 1307567 DATED 24.03.2023 Exhibit P4 TRUE COPY OF THE TREASURY DEPOSIT CERTIFICATE SUBMITTED BY THE PETITIONER FOR THE AMOUNT OF RS.15,91,800/- WITH JL NO. 1307796 DATED 17.08.2023 Exhibit P5 A TRUE COPY OF THE REQUEST LETTER DATED 24.06.2025 SENT BY THE 3RD RESPONDENT TO THE 4TH RESPONDENT Exhibit P6 A TRUE COPY OF THE INDEMNITY CERTIFICATE DATED 24.06.2025 ISSUED BY THE 3RD RESPONDENT Exhibit P7 . A TRUE COPY OF THE ADJUSTED BILL OF THE 3RD AND PART BILL OF THE KARULAI WORK WORTH RS.2,14,48,263/-
Exhibit P8 A TRUE COPY OF THE REQUEST LETTER DATED 24.06.2025 SENT BY THE 3RD RESPONDENT TO THE 4TH RESPONDENT Exhibit P9 A TRUE COPY OF THE INDEMNITY CERTIFICATE DATED 24.06.2025 Exhibit P10 A TRUE COPY OF THE ADJUSTED BILL OF CC 2ND AND PART BILL OF THE WORK OF THE KARULAI, AMARAMBALAM PANCHAYATH PACKAGE W.P.(C)No.24277 of 2025 :8: 2025:KER:48587 IV WORTH RS.1,64,57,934/-
Exhibit P11 A TRUE COPY OF THE REQUEST LETTER DATED 24.06.2025 SENT BY THE 3RD RESPONDENT TO THE 4TH RESPONDENT Exhibit P 12 TRUE COPY OF THE INDEMNITY CERTIFICATE ISSUED BY THE 3RD RESPONDENT DATED 24.06.2025 Exhibit P13 A TRUE COPY OF THE ADJUSTED BILL OF THE CC 4TH AND PART BILL OF THE KUTTIPPURAM PANCHAYATH WORK WORTH RS.60,56,107/- DATED NIL Exhibit P14 A TRUE COPY OF THE REQUEST LETTER DATED 24.06.2025 SENT BY THE 3RD RESPONDENT TO THE 4TH RESPONDENT Exhibit P15 TRUE COPY OF THE INDEMNITY CERTIFICATE ISSUED BY THE 3RD RESPONDENT DATED 24.06.2025 Exhibit P16 A TRUE COPY OF THE ADJUSTED BILL OF CC 5TH AND PART BILL OF THE WORK OF THE VATTATHUR PANCHAYATH WORTH RS.1,16,16,916/- DATED NI Exhibit P 17 A TRUE COPY OF GO(RT)FIN NO.5989/2020 DATED 16.10.2020 Exhibit P 18 A TRUE COPY OF JUDGMENT IN W.P.(C) NO.19375/2025 DATED 09.06.2025