THE HON’BLE SRI JUSTICE NAGESH BHEEMAPAKA WRIT PETITION No.19492 of 2025

ORDER:

Sri S.M. Subhan, learned counsel for the petitioner submits that the petitioner is a Telangana State Road Transport Corporation (TGSRTC) contractor. He submits that the petitioner was the highest bidder in the year 2017 tender for providing one skilled and two unskilled workers for HSD oil top- up and preparation of accountal challans at Gadwal Depot. He submits that the petitioner has successfully completed the contract work and was paid bills up to December, 2018 by the respondents. He submits that the petitioner, despite having completed the contract work between January, 2019 and July 2019, the respondents failed to release payment of the pending bills and withheld the EMD amount of Rs.36,364/-, aggregating to a total of Rs.2.50 lakhs, in pursuance of the work orders dated 17.06.2017 and 03.10.2019, without any justification. He submits that the petitioner has made several representations to the authorities, the latest being on 23.11.2023, but no action was taken. He further submits that this inaction of the respondents has caused financial hardship and loss to the petitioner.

2. On the other hand, Ms. Mahitha, learned counsel representing Sri R. Anurag, learned Standing Counsel for TGSRTC, for the respondents have filed a detailed counter affidavit raising a preliminary objection regarding the maintainability of the Writ Petition, contending that the dispute arises purely out of a contractual obligation, which should be adjudicated by a competent Civil Court and not under Article 226 of the Constitution. It is stated that the petitioner failed to submit the requisite bills along with statutory documents, namely, paid PF and ESI challans, as per Clauses 23 and 24 of the contract agreement. It is stated that on verification, PF challans for January, 2019 and February, 2019 were found, but no records for March, 2019 to July, 2019 were available or reflected on the official website. It is further stated that the respondents are always ready to process and release the bills once the petitioner submits all requisite documents showing statutory compliance.

3. This Court, having heard both sides and perusing the material on the record, is of the considered view that the dispute primarily pertains to non-payment of bills owing to non-submission of requisite documents in accordance with the contractual terms. The respondents have not denied the petitioner’s execution of work but have pointed to lapses in statutory compliance. While issues arising purely from contractual breaches are generally not maintainable in writ jurisdiction, in the interest of justice and having regard to the factual circumstances, this Court deems it appropriate to dispose of the matter with necessary directions without delving into the merits of the contractual dispute.

4. Accordingly, this Writ Petition is disposed of with the following directions:

i. The petitioner is directed to submit the pending bills for the period from January, 2019 to July, 2019, along with all requisite documents, including proof of statutory compliance (e.g., PF challans, ESI details, performance certificates, etc.), within a period of four (4) weeks from the date of receipt of a copy of this order.

ii. Upon such submission, the respondents shall verify the documents and process the bills in accordance with law and the terms of the contract, and release the eligible amount, including the EMD if found refundable, within four (4) weeks thereafter.

iii. If any deficiencies are found in the documents, the respondents shall communicate the same in writing to the petitioner within a reasonable time, giving an opportunity to rectify such deficiencies.

iv. If the petitioner is aggrieved by any denial of payment by the respondents upon such verification, he is at liberty to avail an appropriate remedy before a competent civil court.

Miscellaneous applications, if any pending, shall stand closed. No costs.

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