SUPERINTENDING ENGINEER Vs. PIONEER BUILDERS

JUDGEMENT

(1.) THIS writ appeal arises out of order dated 04. 02. 2003 in WP. No. 10925 of 2001 of the learned Single Judge, whereby he allowed the writ petition filed by the respondent - writ petitioner.

(2.) THE brief facts, relevant for disposal of this appeal, are as under: the respondent is a registered contractor with the irrigation department of the Government of A. P. It was entrusted with execution of a part of work "formation of earthen bund" under agreement No. 1/88-89. Due to certain reasons, which are not germane to be discussed, the work spilled beyond the scheduled date of completion. The parties entered into four supplemental agreements bearing agreement Nos. 16/93-94, 1/95096, 3/96-97 and 25/96-97 dated 17. 09. 1993, 02. 05. 1995, 22. 06. 1996 and 07. 08. 1996 respectively. The respondent claimed that the work was completed on 21. 08. 1996 and its further security and earnest money deposits to the tune of about Rs. 16,00,000/- were not paid to it.

(3.) ANOTHER work was awarded to the respondent pertaining to the Telugu Ganga project Main Canal under agreement No. 25/98-99. During the course of execution of this work, appellant No. 2 issued communication dated 08. 11. 2000 to the effect that audit objections were raised in respect of agreement No. 1/88-89, that excess payment to the extent of Rs. 59. 18 lakhs was made to the respondent on account of erroneous computation of the amount payable under the item of work "loading and unloading" of excavated earth. This was followed by another communication emanating from the appellants wherein while reiterating their stand on excess payment, they proposed recovery of Rs. 68. 34 lakhs from the work bills pertaining to agreement No. 25/98-99. These two communications are questioned in WP. No. 10925 of 2001 filed by the respondent on multiple grounds.