Mohanraj v. The Managing Director

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 23.06.2023

CORAM:

THE HONOURABLE MR. JUSTICE M.S. RAMESH Mohanraj

...Petitioner

Vs 1.The Managing Director, Tamil Nadu State Transport Corporation (Salem) Limited, No.12, Ramakrishna Road, Salem - 636 007.

2.The Administrator, Tamil Nadu State Transport Corporation Employees Pension Fund Trust, Thiruvalluvar House, Pallavan Salai, Chennai - 600 002.

...Respondents

PRAYER: Writ Petition filed under Article 226 of the Constitution of India to issue a Writ of Mandamus, directing the respondents to pay interest at the rate of 6% per annum for the delayed payment of Gratuity, Commutation, Employees Provident Fund and Earned Leave Salary from the date of retirement to till the date of payment to the petitioner within the time stipulated.

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For Petitioner : Mr.D.Venkatachalam For R1 : Mr.K.Raja, Standing Counsel For R2 : Mr.C.S.K.Sathish

ORDER

With the consent of both the parties, this writ petition is taken up for final disposal at the admission stage itself.

2. The petitioner herein, who was serving as Driving Inspector under the respondent Corporation, had retired from service on 31.05.2022 on reaching the age of superannuation. However, his retirement benefits came to be settled only in the month of May, 2023. The petitioner had given a representation on 14.06.2023, seeking for interest on the belated payment of the retirement benefits, which is yet to be considered.

3. This Court, in various decisions, have already taken a view that in all cases of belated payment of the terminal benefits, the concerned employee would be entitled for interest at the rate of 4% per annum. In 2/4

this background, this Court is of the view that the petitioner would be entitled for interest at the rate of 4% per annum on the belated payment of the terminal benefits.

4. In the light of the above observations, there shall be a direction to the first respondent herein to pay interest at the rate of 4% per annum on the belated payment of the terminal benefits to the petitioner, from the date of his retirement till the date of actual disbursement, within a period of four weeks from the date of receipt of a copy of this order.

5. With the above direction, the Writ Petition stands disposed of. No costs.

23.06.2023 Index:Yes/No Speaking order/Non-speaking order hvk 3/4

M.S.RAMESH,J.

hvk To 1.The Managing Director, Tamil Nadu State Transport Corporation (Salem) Limited, No.12, Ramakrishna Road, Salem - 636 007.

2.The Administrator, Tamil Nadu State Transport Corporation Employees Pension Fund Trust, Thiruvalluvar House, Pallavan Salai, Chennai - 600 002.

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