M/S.Jegajothi Spinning Mills v. Tamil Nadu Industrial
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATE : 27.07.2016
CORAM
THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAM W.P.No.26131 of 2016
1. M/s.Jegajothi Spinning Mills Rep. by its Managing Partner V.Subramaniam Erode and District.
2. V.Subramaniam Managing Partner, M/s.Jegajothi Spinning Mills
3. V.Natarajan Partner, M/s.Jegajothi Spinning Mills
4. V.Vadivelu Partner, M/s.Jegajothi Spinning Mills
5. S.Jeyakumar Partner, M/s.Jegajothi Spinning Mills ... Petitioners Vs
1. Tamil Nadu Industrial Investment Corporation Ltd Rep. by its Managing Director 473 Anna Salai, Nandanam Chennai-5.
2. The Tamil Nadu Industrial Investment Corpn Ltd Rep. by its Branch Manager Erode Branch, C.S.Sengottaiah Complex 23 Chidambaram Colony, 80 Feet Road Periyar Nagar, Erode.
... Respondents Prayer: The Writ Petition is filed under Article 226 of the Constitution of India, seeking for a Writ of Mandamus to direct the respondents to pay the interest at the rate of 12% per annum for the surplus auction sale amount of Rs.1,77,95,012/- retained by them in the auction sale of 1st petitioner's property held on 15.7.2010 for the period 15.7.2010 to 15.6.2016 by considering the petitioners representation dated 7.3.2016 within the time fixed by this Court.
For Petitioners : Mr.I.C.Vasudevan For Respondents : Mr.I.Sathish Standing Counsel
O R D E R
Heard Mr.I.C.Vasudevan, learned Counsel appearing for the petitioners and Mr.I.Sathish, learned Standing Counsel accepting notice on behalf of the respondents and with the consent of learned counsel appearing on either side, the writ petition itself is taken up for final disposal. 2.The petitioner seeks for payment of interest on the surplus amount of Rs.1,77,58,921/-, which was retained by the respondents since 2010, though order was passed on 15.07.2010, stating that the said amount is refundable to the petitioner. 3.Though the refund was sanctioned on 15.07.2010, the same was refunded to the petitioner only on 15.06.2016. Therefore, the petitioner would contend that the respondents having retained the petitioner's money from 2010, are bound to pay interest. In this regard, the petitioner has submitted a representation dated 07.03.2016, wherein requested for payment of compound interest. However, the respondents have only refunded the amount along with their letter dated 15.06.2016, but did not consider the claim made by the petitioner for grant of interest.
4.Accordingly, there will be a direction to the first respondent to consider the petitioner's representation dated 7.3.2016, in which the petitioner has claimed for compound interest for the period during which the money was retained by the respondents, within a period of eight weeks from the date of receipt of a copy of this order.
The Writ Petition is disposed of accordingly. No costs. Sd/- Assistant Registrar(CS VI) //True Copy// Sub Assistant Registrar rpa
To The Managing Director Tamil Nadu Industrial Investment Corporation Ltd 473 Anna Salai, Nandanam Chennai-5.
+1cc to Mr.I.C.Vasudevan, Advocate, S.R.No.42447 W.P.No.26131 of 2016 BVR(CO) CA(08/08/2016)