Date:12/02/2005 URL: http://www.thehindu.com/2005/02/12/stories/2005021206630600.htm

Andhra Pradesh

Supreme Court allows State to go ahead with irrigation projects

By J. Venkatesan

NEW DELHI, FEB. 11. The Supreme Court today permitted the Andhra Pradesh Government to go ahead with the implementation of the 21 major irrigation contracts.

On December 15, the court had stayed a judgment of the Andhra Pradesh High Court on a review petition, which cleared the decks for the award of the contracts, and the interim stay was extended on January 4. Notice was issued to the State and others on the limited question of the powers of the High Court in the review petition.

A Bench of Justice D.M. Dharmadhikari and Justice B.N. Srikrishna dismissed the special leave petition filed by Dolendra Prasad, Editor of a Telugu magazine, challenging the High Court judgment holding "no grounds to interfere with the impugned judgment."

Passing orders on a PIL from Mr. Prasad, the High Court on November 18 last had struck down the policy decision and restrained the Government from awarding any of the 26 projects estimated to cost over Rs. 26,000 crores. The State Government identified 51 major packages, each costing over Rs. 100 crores, and 62 medium packages, each costing around Rs. 50 crores, for the 26 projects.

However, on a review petition, the High Court on December 6, 2004, permitted the Government to award the contracts in respect of 21 projects on the ground that agreements had been entered into and bank guarantees executed.

Defect rectified

Assailing the judgment, senior counsel for the petitioner, Rajiv Dutta, submitted before the Apex Court Bench that the High Court had committed an error by reviewing its own judgment after the petition questioning the procedure adopted was accepted earlier.

The Bench pointed out that orders were passed without hearing the parties and this defect was rectified in the review judgment. The Bench told counsel: "You are not a bidder. It is not your case that your interest is affected. It is in public interest that these projects should be taken up before the rain. If you stretch things beyond a certain point, then we will take it that you are being put up by some bidders." When counsel stoutly denied that some bidders were putting up the petitioner, the Bench said: "As a journalist you have done a commendable job. But don't push it beyond a point," and dismissed the SLP.

Contractors ready

In its response, the Andhra Pradesh Government said Rs. 126.66 crores had been paid in respect of the 21 major packages and the contractors were ready to launch work. The completion of these time-bound projects would create new irrigation potential of 6.61 lakh acres.