M.Parandaman v. The Managing Director

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 01.11.2023

CORAM:

THE HONOURABLE MR.JUSTICE M.S.RAMESH

1. M.Parandaman

2. S.Sanmuganathan

3. S.Selvi

4. M.Arul Selvi

...Petitioners

-VsThe Managing Director, Tamil Nadu State Transport Corporation (Villupuram) Ltd., No.3/137, Salamedu, Vazatha Reddy, Villupuram 605 602.

...Respondent

PRAYER: Writ Petition filed under Article 226 of the Constitution of India, praying to issue a Writ of Mandamus to direct the respondent to pay interest @ 10% to us for the belated payment of Gratuity, Leave Salary and Provident Fund to the petitioners.

For Petitioners : Mr.S.T.Varadarajulu For Respondent : Ms.S.Pavithra Standing Counsel 1/4

ORDER

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

2. The petitioners herein, who were serving as Special Grade Conductor, Sr.Trades Man, Special Grade Driver and Special Grade Driver respectively under the respondent Corporation, had retired from service on 30.06.2022 (M.Parandaman), 31.01.2020 (S.Sanmuganathan), 31.01.2020 (S.Selvi) and 04.02.2021 (M.Arulselvi on Voluntary Retirement Scheme). However, their retirement benefits came to be settled only on 25.06.2023 (M.Parandaman), 02.06.2021(S.Sanmuganathan), 28.06.2021 (S.Selvi) and 01.12.2022(M.Arulselvi). The petitioners had given a representation on 30.08.2023, 08.09.2023, 01.09.2023 and 06.09.2023 respectively, 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 2/4

be entitled for interest at the rate of 6% per annum. In this background, this Court is of the view that the petitioner would be entitled for interest at the rate of 6% 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 respondent herein to pay interest at the rate of 6% per annum on the belated payment of the terminal benefits to the petitioners, 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. 01.11.2023 Index:Yes/No Internet:Yes/No sr To The Managing Director, Tamil Nadu State Transport Corporation (Villupuram) Ltd., No.3/137, Salamedu, Vazatha Reddy, Villupuram 605 602.

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M.S.RAMESH,J.

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