IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD (Special Original Jurisdiction) TUESDAY, THE EIGHTEENTH DAY OF MARCH TWO THOUSAND AND EIGHT PRESENT THE HON'BLE MR JUSTICE GOPALA KRISHNA TAMADA WRIT PETITION NO : 4754 of 2008 Between: Bommineni Ramanjaneyulu S/o.Venkata Narasimha Rao Santhanuthalapadu(M), Prakasam Dist ..... PETITIONER AND 1 The State of A.P rep. by its Principal Secretary to Panchayat Raj and Rural Development Department(Proceedings-III) Secretariat, Saifabad, Hyderabad 2 The Engineer-in Chief Panchayat Raj(RW&S) Errum Manzil Colony, Hyderabad 3 Superintending Engineer(PR RWS(P) Circle Ongole,Prakasam Dist 4 Executive Engineer (PR)(RWS) Division, Ongole Prakasam Dist 5 Zilla Praja Parishad, Prakasam Dist rep.by its Chief Executive Officer Ongole Prakasam Dist 6 Mandal Praja Parishad, Rep. by its Mandal Parishad Development Officer, Chimakurthy(V) &(M) Prakasam Dist .....RESPONDENT(S) Petition under Article 226 of the constitution of India praying that in the circumstances stated in the Affidavit filed herein the High Court will be pleased to issue a writ, order or direction more particularly one in the nature of writ of Mandamus declaring the action of the respondents in not releasing the amount for the works executed by the petitioner in Dt.01-02- 2008 addressed by the 2nd respondent as illegal, irregular arbitrary violative of articles 14,21 and 300A of Constitution of India and consequently direct the respondents to release the balance amount payable to the petitioner with interest at 18% p.a from the due dates till payment is made. Counsel for the Petitioner:MR.C.RAMACHANDRA RAJU Counsel for the Respondent No.: GP FOR PANCHAYAT RAJ & RURAL DEV. The Court made the following : Form-NIC-OGS/WP{BMR} O R D E R:- This writ petition is filed seeking a mandamus to declare the action of the respondents in not releasing the balance amount for the works executed by the petitioner in terms of G.O.Rt.No.1207, dated 2.7.2005 and G.O.Rt.No.140, dated 30.1.2006 issued by the 1st respondent- Government and the letter dated 1.2.2008 of the 2nd respondent- Engineer-in-Chief, Panchayat Raj, as arbitrary and illegal and consequently direct the respondents to release the balance amount payable to the petitioner with interest at 18% p.a. from due dates till payment is made. The petitioner asserts that he is a registered contractor and he entered into an agreement with the 3rd respondent-Superintending Engineer on 26.10.2006 for construction of storage tank under Protected Water Supply Scheme. As required by the respondents, the construction of the storage tank was over and the same was inspected by the respondents from time to time. The respondents paid the petitioner only an amount of Rs.2.00 crores on various dates in 8 installments. Later, the petitioner made several representations to the respondents for the balance amount to be paid. Now, the petitioner’s grievance is that though the work was completed and he is entitled to the payment of balance amount as per the agreement, the same has not been paid so far. Heard the learned counsel for the petitioner. The learned standing counsel for the 5th and 6th respondents, on instructions, submits that as and when the works are completed, the petitioner will be paid the balance amount in terms of the agreement. The facts are not at all in dispute. The entrustment of work, the completion of work and the payment of an amount of Rs.2.00 crores are admitted by both the parties. The only dispute is with regard to the payment of balance amount. Inasmuch as the learned standing counsel has fairly conceded that as and when the works are completed, the petitioner will be paid the balance amount and since the learned counsel for the petitioner submits that the construction works are already over, this Court deems it appropriate to direct the respondents to pay the balance amount to the petitioner forthwith if the works as per the contractual agreement are completed. Hence, the writ petition is allowed and the respondents are directed to pay the balance amount forthwith if the works as per the contractual agreement are completed. The learned counsel for the petitioner submits that inasmuch as the respondents, without any reason whatsoever, have withheld the balance amount, he is entitled to the interest accrued on that amount. This Court cannot go into this aspect under Article 226 of the Constitution of India, however, if the petitioner so chooses, he may claim for interest on the balance amount in appropriate forum. No costs. _______________ 18.03.2008 Note: Furnish copy in two days B/o bcj