K.Venkateswara Reddy vs The State Of Andhra Pradesh
2022 Latest Caselaw 8746 AP

       THE HON'BLE SRI JUSTICE RAVI NATH TILHARI

                WRIT PETITION No.33515 OF 2022

JUDGMENT:-

1.     Heard Sri Bathala Ramesh, learned counsel for the

petitioner,     learned      Government        Pleader      for     Municipal

Administration, representing respondent Nos.1, 3 & 4, Sri V.

Ashok Ram, learned Government Pleader for Finance,

representing respondent No.2, and Sri G. Naresh Kumar,

learned counsel representing the respondents 5 and 6.

2. With the consent of the parties counsels, the writ petition

is being disposed of finally at this stage.

3. This writ petition under Article 226 of the Constitution of

India has been filed for the following relief:-

"It is therefore prayed that this Hon'ble Court may be pleased to issue a writ of mandamus or any other appropriate writ or direction declaring the action of the Respondents in withholding the refund of Earnest Money Deposit EMD and Future Security Deposit FSD amounts as Rs.20,000/- EMD and Rs.4,59,298/- FSD even after completion of defect liability period refund payable to the petitioner in relation to the work i.e Providing CC Roads in SC Localities of 10, 11th ward in Vinukonda Municipality under SCSP Grant vide Agreement No.220/2018-19 dated 01.01.2019 is questioned as the same is illegal arbitrary and consequently direct the respondents to consider the representation of the petitioner and to release the

refund of Earnest Money Deposit EMD and Future Security Deposit FSD amounts as Rs.20,000/- (EMD) and Rs.4,59,298/- (FSD) with interest 24percent per annum for the delayed amount to the petitioner in respect of abovementioned work forthwith and pass necessary orders."

4. Learned counsel for the petitioner submits that the

petitioner completed the works to the satisfaction of the

respondents within the stipulated time under the agreement by

engaging the men and machinery. The respondents are not

justified in withholding the amount payable to the petitioner.

Such action on their part is illegal and arbitrary.

5. Sri V. Ashok Ram, learned GP for Finance on the basis of

instructions submits that the Finance Department has released

the required amount vide G.O.Rt.No.3265 dated 10.06.2022 and

G.O.Rt.No.3408 dated 08.07.2022 to clear the pending bill in

W.P.No.33515 of 2022 as per the proposal of the MA & UD

Department. The Municipal Authority has to resubmit the

admitted bills to the financial department for clearance and

after receiving the bills the same will be cleared on priority basis

and ways and means position of the State finance and the

payment shall be made within a period of six months.

6. Once the funds have been released and the bills are

uploaded, the 4th respondent has undertaken to upload the bills

within a period of two weeks from today, the request for making

the payment within six months is unreasonable.

7. Sri G. Naresh Kumar, learned counsel representing the

respondents 5 and 6 submits that the respondent No.5 shall

resubmit/upload the bills again in CFMS website within a

period of two (02) weeks from today.

8. Learned counsel for the petitioner submits that the

petitioner has also claimed interest on delayed payment but

with respect to that prayer, liberty may be granted to the

petitioner to approach in appropriate proceedings.

9. The bills for payment of the petitioner are pending since

long and such nonpayment is not justified if the petitioner has

discharged the work under the agreement, in terms of the

agreement.

10. However, considering the submissions advanced by the

learned counsels for the parties/and after recording the stand of

the respondents as submitted, the writ petition is being

disposed of finally with the following directions:-

a) The 5th respondent - Vinukonda Municipality, shall

resubmit/upload the bills of the petitioner for the work in

question, in CFMS portal within two (02) weeks from

today;

b) The 2nd respondent - Principal Secretary, Finance

Department, shall within a further period of eight (8)

weeks shall release the amount payable, to the petitioner,

on due verification and scrutiny as per the procedure, if

there is no other legal impediments in making payment.

c) The entire exercise shall be completed positively in ten

(10) weeks from today.

11. So far as the petitioner's prayer for interest is concerned,

it would involve determination of various factors including

questions of fact. Consequently, at this stage in the exercise of

writ jurisdiction, the Court is not entering into that aspect, and

as requested by the learned counsel for the petitioner, the

petitioner is granted liberty to approach the appropriate forum,

if so advised, clarifying that the grant of time to the respondents

as aforesaid, would not adversely affect the petitioner's claim for

interest for the period of entitlement if any, under law.

12. The writ petition is disposed of finally with the aforesaid

directions and observations. No order as to costs.

As a sequel thereto, miscellaneous petitions, if any

pending, shall also stand closed.

__________________________ RAVI NATH TILHARI,J Date:15.11.2022 Gk

THE HON'BLE SRI JUSTICE RAVI NATH TILHARI

WRIT PETITION No.33515 of 2022

Date:15.11.2022 Gk.