P.Pannerselvam v. The Managing Director

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED : 08.09.2023 CORAM :

THE HONOURABLE MR. JUSTICE N. SATHISH KUMAR 1.P.Pannerselvam 2.V.Surendrababu 3.R.Latha 4.P.Krishnan 5.S.Balasubramanian 6.S.Jacintha ... Petitioners Vs.

1.The Managing Director, Tamil Nadu State Transport Corporation (Villupuram) Ltd., Salamedu, Vazhatha Reddy, Villupuram - 605 602.

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

... Respondents Prayer : Writ Petition filed under Article 226 of the Constitution of India for issuance of a Writ of Mandamus to direct the respondents to pay interest @ 10% for the belated payment of Gratuity, Leave Salary, Provident Fund and Commutation of Pension amount to the petitioners.

For Petitioners : Mr.S.T.Varadarajalu For R1 : Mr.R.Venkatasa Perumal For R2 : Mr.C.S.K.Sathish

O R D E R

This writ petition has been filed to direct the respondents to pay interest @ 10% for the belated payment of Gratuity, Leave Salary, Provident Fund and Commutation of Pension amount to the petitioners. 2.It is the case of the petitioners that they retired from the respondent Corporation on various dates, however, their retirement benefits were settled belatedly as follows :

Petitioners Date of Retirement Date of settlement P.Pannerselvam 30.09.2020 01.12.2022 V.Surendrababu 20.01.2021 01.12.2022 R.Latha 31.01.2020 28.10.2021 P.Krishnan 21.12.2020 01.12.2022 S.Balasubramanian 28.03.2021 01.12.2022 S.Jacintha (M/o.Stalin) Stalin Died on 10.10.2020 01.12.2022 Therefore, it is the contention of the petitioners that the petitioners are eligible for interest on the belated payment of their retirement benefits. Hence, the petitioners seek interest at the rate of 10% p.a. for the belated

payment of their retirement benefits.

3.Heard the learned counsel for the petitioners, Mr.R.Venkatesa Perumal, learned counsel, who takes notice for the 1st respondent and Mr.C.S.K.Sathish, learned counsel, who takes notice for the 2nd respondent.

4.This Court, in various decisions, have already taken a view that, in all cases of belated payment of terminal benefits, the concerned employee would be entitled to interest at the rate of 4% per annum. Hence, this Court is of the view that the petitioners are entitled to interest at the rate of 4% per annum on the belated payment of the terminal benefits.

5.Accordingly, the respondents are directed to pay interest at the rate of 4% per annum on the belated payment of the retirement benefits to the petitioners, from the date of their retirement till the date of actual disbursement, within a period of eight weeks from the date of receipt of a copy of this order.

6.With the above direction, this writ petition is disposed of. No costs.

08.09.2023 mkn Internet : Yes Index : Yes / No Speaking order / Nonspeaking order To 1.The Managing Director, Tamil Nadu State Transport Corporation (Villupuram) Ltd., Salamedu, Vazhatha Reddy, Villupuram - 605 602.

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

N. SATHISH KUMAR, J.

mkn 08.09.2023