S.Anandan v. The Managing Director,
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 01.03.2022
CORAM:
THE HON'BLE MR. JUSTICE D.KRISHNAKUMAR W.P.No.4309 of 2022 S.Anandan
...Petitioner
vs.
1.The Managing Director, Tamil Nadu State Transport Corporation (Salem) Ltd., Ramakrishna Salai, Salem - 636 007.
2.The General Manager, Tamil Nadu State Transport Corporation (Salem) Ltd., Barathipuram, Dharmapuri Region, Dharmapuri - 636 705.
...Respondents
Prayer: Writ Petition filed under Article 226 of the Constitution of India praying for issuance of a Writ of Mandamus directing the respondents to pay interest for the belated payment of Provident fund, Gratuity and Leave Liability amount at a rate of 9% p.a.
For Petitioner : Mr.J.Pradeep For Respondents : Mr.A.Sundaravadanan Standing Counsel
O R D E R
This writ petition has been filed for issuance of a Writ of Mandamus directing the respondents to pay the interest amounts to the belated payment of Provident fund, Gratuity and Leave Liability amount at a rate of 9% p.a.
2. Heard the learned counsel appearing for the petitioner and the learned Standing Counsel appearing for the respondents.
3. The petitioner was employed as Conductor under the respondent Transport Corporation and retired from service on superannuation on 31.05.2019. However, the respondents have settled the retirement benefits to the petitioner belatedly, without any interest. Hence, the petitioner made a representation on 09.08.2021 to pay interest, however, the respondents have not considered it. Hence, this writ petition has been filed.
4. The learned counsel appearing for the petitioner submitted that, the respondents have settled the retirement benefits to the petitioner belatedly. Despite the petitioner made a representation dated 09.08.2021 to the concerned Authorities to pay the interest for the belated payment of retirement benefits, the respondents have not paid the same. He has also relied on the decision of the Hon'ble Division Bench of this Court in W.A.(MD) No.383 to 457 of 2015, dated 12.06.2015 wherein the Hon'ble Division Bench of this Court has fixed the rate of interest at 6% per annum for the belated payment of retirement benefits. On the same line, orders may be issued in the present writ petition.
5. The learned Standing Counsel appearing for respondents fairly accepted the fact that the respondents-Corporation have settled the retirement benefits to the petitioner belatedly. He also submitted that the petitioner is entitled for interest only at the rate of 4% per annum for the belated payment.
6. In view of the above submissions and with the consent of both parties, there shall be a direction to the respondents to pay penal interest at the rate of 4% per annum for the belated payment of retirement benefits to the petitioner, within a period of four months from the date of receipt of a copy of this order, subject to the condition that if the petitioner has not already given up his right for claiming interest for the retirement benefits. It is also made clear that in default, the respondent-Corporation shall have to pay the interest amount at the rate of 6% per annum to the petitioner.
7. With the above directions, the writ petition stands disposed of. No costs.
s/d- Assistant Registrar True Copy Sub-Assistant Registrar
To 1.The Managing Director, Tamil Nadu State Transport Corporation (Salem) Ltd., Ramakrishna Salai, Salem - 636 007.
2.The General Manager, Tamil Nadu State Transport Corporation (Salem) Ltd., Barathipuram, Dharmapuri Region, Dharmapuri - 636 705.
+1 CC to Mr.A.Sundaravadanan, Advocate sr 13491 +1 CC to Mr.J.Pradeep Kumar, Advocate sr 13243. W.P.No.4309 of 2022 SS(CO) SP(21/03/2022)