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26) It is submitted that due to pending vigilance enquiry and subsequent non-receipt of MGNREGS funds which are due from the Government of India and the State Government could not be paid to the petitioners.

27) On 09.07.2021, after noticing the averments stated in the counter-affidavit of the 1st respondent as extracted above, this Court intended to seek information from the Union of India, Ministry of Rural Development, Department of Panchayat Raj and Rural Development with regard to the funds released under the MGNREGS for the State of Andhra Pradesh from the year 2014 onwards. For this purpose, the Court felt it is necessary to implead the Union of India as one of the respondents in these writ petitions to ascertain the said information and accordingly, suo motu, the Court impleaded the Union of India, Ministry of Rural Development, Department of Panchayat Raj and Rural Development as 10th respondent in W.P.No.12524 of 2021 and directed Sri N. Harinath, learned Assistant Solicitor General to get comprehensive information from the Union of India with regard to the funds released to the works executed in the State of Andhra Pradesh under Union of India, Ministry of Rural Development, Department of Panchayat Raj and Rural Development from the year, 2014 onwards, on or before the next date of hearing and place the same before the Court.

39) On careful examination of the said Memos, it appears that vide Memo, dated 05.05.2020, the State Government decided that all the material component works taken up under MGNREGS in Panchayat Raj and Rural Development Department during the period from 01.01.2018 to 31.05.2019 shall be verified by the Vigilance and Quality Control Wings of Panchayat Raj Engineering Department, Rural Water Supply and Sanitation Engineering Department, Technical persons in SSAAT and Quality Control wing of Commissioner, Rural Development by forming teams. The verification of the works shall be started immediately and should be completed in a time bound manner not later than a period of six months.

43) On careful examination of the said Memos, dated 05.11.2020 and 12.05.2021, the reason mentioned to deduct such amounts out of the payment to be made to the petitioners is unreasonable. As and when the Government took decision vide Memo, dated 05.05.2020 to conduct enquiry against all the material component works taken up under MGNREGS in Panchayat Raj and Rural Development Department during the period from 01.10.2018 to 31.05.2019 by constituting Special Teams and a stipulated time to complete the enquiry within six months, the stand of the Panchayat Raj and Rural Development Department is that they have verified a sample consisting of only 11,918 number of works out of total 7,95,494 number of works executed during that period. Basing on that verification, they submitted a report and made a proposal to deduct 21.02% for DCC works and 6.33% for MCC works. Without conducting proper enquiries against the works executed by the petitioners, taking decision to deduct 21.02% and 6.33% from the amounts payable to the petitioners is irrational and unjustifiable.

49) On 29.09.2021, the 10th respondent filed additional affidavit. At para No.5 of the additional affidavit, dated 28.09.2021 signed by Under Secretary, Government of India, Ministry of Rural Development, it is contended as extracted hereunder:

"It is submitted that upon enquiry from our office, the Office of the Commissioner, Panchayat Raj and Rural Development, Andhra Pradesh, through e-mail ([email protected], dated 05.08.2021 informed the Director/Joint Director, Mahatma Gandhi NREGA that the Vigilance final report was received on 16.10.2020 and the State has submitted a detailed information vide Letter No.308/RD/DBT/2014, dated 11.08.2021 for preparing a reply to the Parliament Question regarding the pending payments under material component and regarding the submission of final report by the Vigilance Team on 16.10.2020. The State has also informed regarding the decision of the State Government Vide Memo No.1263069/RD.II/A1/ 2020, dated 05.11.2020, and Memo No.1388361/ RD.II/A1/2020, dated 12.05.2021 for releasing the pending payments of the works which were taken up under Mahatma Gandhi NREGS between the period from 01.10.2018 to 31.05.2019."