T.Santhanam, v. The Director,

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATE : 01.11.2019 CORAM :

THE HONOURABLE MR.JUSTICE SUBRAMONIUM PRASAD W.P.No.7569 of 2013 & W.M.P.No.33941 of 2017 T.Santhanam ... Petitioner Vs The Director, Local Fund Audit, IV Floor, Kuralagom, Chennai 600 108.

... Respondent Prayer : Writ Petition is filed under Article 226 of the Constitution of India, to issue a Writ of Mandamus, directing the respondents to sanction the interest on the belated payment of terminal benefits to a tune of Rs.9,65,559/- which is due on 31-07-2003 and paid on 19-03-2010 and 26-06-2012 with 12% interest compounded annually as per G.O.Ms.No.122 Finance (Pension) Department dated 20-02-1995 within a date fixed by this Hon'ble Court.

For Petitioner : Mr.A.R.Nixon For Respondents: Ms.A.Srijayanthi, Special Government Pleader

O R D E R

The instant writ petition is one for writ of Mandamus directing the respondent to pay interest for the belated payment of terminal benefits to a tune of Rs.12,24,005/- to the petitioner, which was due and payable on 31.07.2003. 2.The petitioner attained the age of superannuation on 31.07.2003. However, a sum of Rs.9,65,559/- was paid to the petitioner only on 19.03.2010. This was towards pension and a further sum of Rs.2,58,446/- was paid on 26.06.2012 towards DCRG. The petitioner states that he is entitled for interest for the late payment of the aforesaid amount.

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3.It is well settled that even in the absence of Statutory Rules, interest is liable to be paid for the delayed payment of pension.Rule 45 A of the Pension Rules specifies the interest payable on the delayed payment of gratuity[refer S.K.Dua Vs. State of Haryana (2008) 3 SCC 44] 4.The learned counsel for the petitioner relies on G.O.Ms.No.122, Finance Pension Department, dated 20.02.1995, which attracts 12% interest for the delay in payment of gratuity. 5.The petitioner is therefore entitled for interest for the rate of 10% on Rs.9,65,559/- payable from 31.07.2003 till 19.03.2010 and 12% interest on Rs.2,58,446/- payable from 31.07.2003 till 20.06.2012. The amount shall be paid to the petitioner within a period of 16 weeks from the date of receipt of a copy of this order.

6.The writ petition is allowed. No costs. Consequently, the connected miscellaneous petition is closed.

Sd/- Assistant Registrar(CS VI) //True Copy// Sub Assistant Registrar To The Director, Local Fund Audit, IV Floor, Kuralagom, Chennai 600 108.

+1cc to M/s.A.R.Nixon, Advocate Sr.90886 W.P.No.7569 of 2013 & W.M.P.No.33941 of 2017 cp[co] srg 06/01/2019 https://hcservices.ecourts.gov.in/hcservices/