Facts of the Case

Sri Radha Krishna Industries sought release of final bill amounts totalling Rs. 28,54,535/- (comprising two separate agreement amounts) plus 18% GST, for completion of Operation and Maintenance (O&M) works under the Irrigation and Water Resources Department, Andhra Pradesh. This is a contractual payment-recovery dispute, not a GST assessment matter — GST is referenced only as part of the contractually agreed bill amount.

Issues Involved

  1. Whether the respondent authorities were obliged to release the admitted final bill amount, including the GST component, for completed works.

Petitioner's Arguments

  • The total work had been completed as per the agreements, yet the final bill amount, including 18% GST, had not been released despite completion, causing heavy loss with interest.

Respondent's Arguments

  • The Assistant Government Pleader for Irrigation submitted that the authorities had admitted the entitlement to pay the amount and sought four months' time for payment, to which the petitioner's counsel had no objection.

Court Order / Findings

  • Given the authorities' readiness to pay the admitted amount, the Court disposed of the writ petition directing the respondents to release the legally admitted/entitled net amount within four months from receipt of the order.
  • No costs were awarded.

Important Clarification

This order does not lay down any principle of GST law — it is a straightforward direction to pay an admitted contractual bill, of which GST forms one component agreed between the parties under the works contract. There is no independent adjudication of any GST rate, liability, or refund question.

Sections Involved

  • Constitution of India, Article 226

Decision – In Favour of

Disposed of in favour of the petitioner-contractor — the respondents were directed to release the admitted bill amount, including the GST component, within four months.

Case Details

  • Court: High Court of Andhra Pradesh at Amaravati
  • Case Number: Writ Petition No. 36516/2025
  • Coram: Justice Ravi Cheemalapati
  • Date of Order: 21.04.2026

Link to Download the Order

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