The court held that due payments must be settled for completed work before issuing new tenders, emphasizing legal principles of natural justice and fairness.

ORDER :

Anil Kumar Jukanti, J.

This writ petition is filed with the following prayer:

“…to issue an order or direction more particularly one in the nature of writ of mandamus or any other appropriate writ declaring the action of the respondent no.3 in issuing e-procurement tender notification dated 20-2-2016 with IFB No.33/2015-16, calling for the works i.e., “Minor Irrigation-Balance work for completion of formation of new tank across Chinna Sudda Vagu (Sri Ranga Rao Palsikar Project) near Mategaon village, Bainsa Mandal of Adilabad District” without taking the final measurement of the work done by the petitioner and without setting the full and final payments and without paying the amounts deducted from the bill payments for the works done, in pursuance of the work done by the petitioner through LS agreement no.4/2005-2006, dated 3-6-2005 is nothing but arbitrary, illegal, null and void and violative of principles of natural justice and also violative of Articles 14, 19 and 21 of the Constitution of India. Consequently, direct the respondents not to proceed and not to take up any works “Minor Irrigation-Balance work for completion of formation of new tank across Chinna Sudda Vagu (Sri Ranga Rao Palsikar Project) near Mategaon village, Bainsa Mandal of Adilabad District” until the accounts of the petitioner are settled and the entire amounts payable to the petitioner are paid and to pass…”

2. Heard Mr. K.Venumadhav, learned counsel for petitioner and learned Assistant Government Pleader for Irrigation and Command Area Development for respondents.

3. Petitioner carried out the works of “Formation MI Tank Chinna Sudda Vagu Project (Package-I), (Head works, LF Canal from Km. 0.00 to 6.76 and RF canal Km. 0.00 to 2.26) near Mategaon village, Bainsa Mandal, Adilabad District. In respect of the said work, petitioner became the lowest bidder and a LS agreement No.04/2005-2006, dated 03.06.2005, was entered with respondent No.3. It is the case of petitioner that he started the work as per agreement and has done part of the work. That respondent officials measured the works and released the funds by deducting 10% and also 7.5% towards Final Security deposit. It is alleged by petitioner that these deducting percentage(s) amounts should be paid after completion of work. Thus, respondents have to pay a sum of Rs.23,21,980/- +Rs.17,41,490/-, by 2007 itself.

4. It is submitted that petitioner made representations and also addressed a letter on 21.12.2009 to respondent authorities narrating the facts, as the amounts were not paid and that respondent authorities did not respond to the letter and representations, that petitioner had to stop the work.

5. It is alleged that without taking final measurement of the work done by petitioner, without settling full and final payments and without paying the amounts deducted from the bill payments, respondent authorities issued an e-procurement tender notification on 20.02.2016 with IFB No.33/2015-16 with the name of the work “Minor Irrigation-Balance work for completion of formation of new tank across Chinna Sudda Vagu (Sri Ranga Rao Palsikar Project) near Mategaon village, Bainsa Mandal of Adilabad District”. It is the case of petitioner that before issuing e- procurement tender notification, respondent authorities should have settled his account.

6. Learned Assistant Government Pleader for respondents has submitted a copy of signed written instructions from the Executive Engineer, I&CADD., Irrgation Division No.3, Nirmal. The following are contents of the instructions from the office of Executive Engineer addressed to Office of Government Pleader of Irrigation:

“1. It is submitted that the work "Formation of M.I Tank Chinna Suddavagu Pr