M.Ramalingam v. The Management Of

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED : 08.09.2023 CORAM :

THE HONOURABLE MR. JUSTICE N. SATHISH KUMAR M.Ramalingam ... Petitioner in W.P.No.26346 of 2023 D.Ramasamy ... Petitioner in W.P.No.26347 of 2023 Vs.

The Management of Tamil Nadu State Transport Corporation (Kovai) Ltd., Erode Region, Represented by its Managing Director, Erode.

... Respondent in both petitions Prayer in W.P.No.26346 of 2023: Writ Petition filed under Article 226 of the Constitution of India for issuance of a Writ of Mandamus to direct the respondents to pay the petitioner, the interest at the rate of 18% per annum for the period of delay from 01.08.2019 to 24.01.2021 in paying the amounts paid towards his terminal and pension benefits, namely EPF Employee's Contribution, Gratuity, Encashment of Leaves, within a time frame as may be fixed by this Court and without affecting his right to claim balance amounts towards those benefits.

Prayer in W.P.No.26347 of 2023: Writ Petition filed under Article 226 of the Constitution of India for issuance of a Writ of Mandamus to direct the respondents to pay the petitioner, the interest at the rate of 18% per annum for the period of delay from 01.04.2022 to 26.03.2023 in paying the amounts paid towards his terminal and pension benefits, namely EPF Employee's Contribution, Gratuity, Encashment of Leaves, within a time frame as may be fixed by this Court and without affecting his right to claim balance amounts towards those benefits. For Petitioner : Mr.V.Ajoy Khose in both writ petitions For Respondent : Mr.M.Murali Vinodh in both writ petitions C O M M O N O R D E R These writ petitions have been filed to direct the respondents to pay the petitioners, interest at the rate of 18% per annum, for the delayed period, in paying the amounts paid towards terminal benefits, namely, EPF Employee's Contribution, Gratuity, Encashment of Leaves, within a time frame as may be fixed by this Court, without affecting the petitioners' right to claim balance amounts towards those benefits.

2.It is the case of the petitioners that they retired from the respondent Corporation, however, their retirement benefits, viz., EPF Employee's Contribution, Gratuity, Encashment of Leaves, were settled belatedly on the following dates :

Petitioner in Date of Retirement Date of settlement W.P.No.26346 of 2023 31.07.2019 24.01.2021 W.P.No.26347 of 2023 31.03.2022 26.03.2023 Therefore, it is the contention of the petitioners that the petitioners are eligible for interest on the belated payment of their retirement benefits, viz., EPF Employee's Contribution, Gratuity, Encashment of Leaves. Hence, the petitioners seek interest at the rate of 18% per annum for the belated payment of their retirement benefits. 3.Heard the learned counsel for the petitioners and Mr.M.Murali Vinodh, learned counsel, who takes notice for the 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, these writ petitions are disposed of. No costs.

7.The learned counsel for the respondent is entitled to separate fee in each case.

08.09.2023 mkn Internet : Yes Index : Yes / No Speaking order / Nonspeaking order

To The Managing Director, Tamil Nadu State Transport Corporation (Kovai) Ltd., Erode Region, Erode.

N. SATHISH KUMAR, J.

mkn 08.09.2023