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Madras High CourtWP/9403/2026disposed of

A.Panchatcharam v. The General Manager

2026-03-12Honourable Ms. Justice P.T. Asha5 pages

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 12-03-2026

CORAM

THE HON'BLE MS. JUSTICE P.T. ASHA A.Panchatcharam S/o.M.Arumugam, No.5/35, Ambadkar Street, Varakoor Village and Post, Kavanur (Viz), Arcot Taluk, Ranipet District- 632 507.

..Petitioner(s) Vs The General Manager Tamil Nadu State Transport Corporation (Villupuram) Ltd, Vellore Region, Rangapuram, Vellore- 632 009.

..Respondent(s) Prayer: - Writ petition filed under Article 226 of the constitution of India praying for issuance of a writ of mandamus directing the respondent to pay interest @ 10 percent for the belated payment of terminal benefits such as Gratuity, Provident Fund and Difference in leave salary and difference in gratuity with 10 percent interest as per 15th wage settlement dated 29.05.2025 to the petitioner.

For Petitioner(s):

S.T.Varadarajalu

For Respondent(s):

M/s Pavithra, Standing Counsel for sole Respondent

ORDER

This Writ Petition has been filed for the following reliefs:- "directing the respondent to pay interest @ 10 percent for the belated payment of terminal benefits such as Gratuity, Provident Fund and Difference in leave salary and difference in gratuity with 10 percent interest as per 15th wage settlement dated 29.05.2025 to the petitioner."

2. The case of the petitioner is that he was appointed as a Conductor in the respondent Transport Corporation on 02.06.1990 and retired from service on attaining the age of superannuation on 31.05.2024. However, the terminal benefits have been settled to the petitioner only on 02.12.2025 and no interest has been paid for the delayed period. That apart, the petitioner retired from service on 31.05.2024 prior to the wage settlement entered into under Section 12(3) of the Industrial Disputes Act, 1947, dated 29.05.2025, which was given retrospective effect from 01.09.2023. As per the said settlement, the petitioner is entitled revision of pay and consequential terminal benefits such as gratuity and encashment of leave with effect from 01.09.2023. However, the said benefits have not been extended to the petitioner. In this regard, the petitioner had submitted a representation to the respondent dated 16.02.2026. Since the same was not considered, the present writ petition has been filed.

3. The learned Standing Counsel for the respondent would fairly submit that they are willing to pay the interest at the rate of 6% per annum for the belated payment of the eligible and admissible amount.

4. Heard the learned counsel for both sides and perused the materials available on record.

5. In view of the above submission of the learned Standing Counsel, this Court deems it appropriate to direct the respondent to pay interest at the rate of 6% per annum for the belated payment of the terminal benefits such as Gratuity, Provident Fund and the applicable difference in leave salary and Gratuity as per 15th Wage Settlement from the date of retirement till the date of actual disbursal of the terminal benefits of the petitioner within a period of six weeks from the date of receipt of a copy of this order.

6. Accordingly, the Writ Petition is disposed of. No costs. 12-03-2026 Index: Yes/No Speaking/Non-speaking order SHR

To The General Manager Tamil Nadu State Transport Corporation (Villupuram) Ltd, Vellore Region, Rangapuram, Vellore- 632 009.

P.T.ASHA J.

SHR 12-03-2026