The State moved the High Court in a bid to revive its plan to have three capitals.
The YS Jagan Mohan Reddy-led government had decided to make three capitals in different cities in order to ensure development in all parts of the state.
It proposed administrative capital in Visakhapatnam, judicial capital in Kurnool and the legislative capital in Amaravati but it failed to materialise due to numerous petitions filed before the High Court challenging the move.
The proposed formation of three capitals by the State government was challenged by the farmers of Amaravati.
The farmers claimed that the government had entered into agreements with them for offering their land under the Land Pooling Scheme (LPS), promising to develop a new capital.
A division bench of the High Court headed by Chief Justice Prashant Kumar Mishra had held that the state legislature had no competence to make any legislation on the State capital and directed the state government not to shift any office from the present capital city of Amaravati.
The High Court also asked the State government to pay ₹50,000 to the petitioners.