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Madras High CourtWP/36634/2025disposed of

K Krishnasamy Rtd Staff Tr 5138 v. The Managing Director

2025-09-26Honourable Mr Justice A.D.Jagadish Chandira6 pages

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 26.09.2025

CORAM:

THE HON'BLE MR.JUSTICE A.D.JAGADISH CHANDIRA K.Krishnasamy

...Petitioner

Vs.

1.

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

2.

The General Manager, Tamil Nadu State Transport Corporation (Salem) Limited, Dharmapuri Region, Bharathipuram, Dharmapuri District. 3.

The Administrator, Tamil Nadu State Transport Corporation Employees Welfare Fund Trust, Thiruvalluvar House, Pallavan Salai, Chenani - 600 002.

...Respondents

Writ Petition filed under Article 226 of the Constitution of India, to issue a Writ of Mandamus, directing the respondents to disburse the belated payment of interest amount of Provident fund, Gratuity, Commutation & Earned leave salary amounts and other unsettle benefits of Pension arrears and VRS compensation with effect from 04.10.2023 within a stipulated time as may be fixed by this Hon'ble Court.

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For Petitioner : Mr.N.Desinghu For Respondents : Mr.K.Raja, Standing Counsel, for R1 & R2 : Mr.C.S.K.Sathish, Standing Counsel, for R3

ORDER

Aggrieved by the belated payment of retirement benefits such as Provident fund, Gratuity, Commutation & Earned leave salary amounts and non payment of Pension arrears and VRS compensation with effect from 04.10.2023, the present writ petition has been filed seeking interest for the said delay caused on the part of the respondents and also for payment of the unsettled dues.

2. Mr.K.Raja, learned Standing Counsel takes notice on behalf of the 1st and 2nd respondents, Mr.C.S.K.Sathish, learned Standing Counsel takes notice on behalf of the 3rd respondent. In view of the consent expressed by the learned counsel on either side, this writ petition is taken up for final disposal at the admission stage itself.

3. When the matter is taken up for hearing, the learned counsel for the petitioner brought to the notice of this Court the order passed by a Co2/6

ordinate Bench of this Court in a similar matter in W.P.No.25610 of 2024 dated 03.09.2024, wherein this Court had directed the respondent therein to pay interest at the rate of 6% p.a. for the belated payment of terminal benefits to the petitioner therein within a period of six (6) weeks from the date of receipt of a copy of the order.

4. Learned Standing Counsels appearing for the respondents did not dispute the above submission made by the learned counsel for the petitioner.

5. This Court perused the order passed in W.P.No.25610 of 2024, wherein, this Court has held as under :- "5. Taking into consideration the facts and circumstances of the case and the grievance expressed by the petitioner, there shall be a direction to the respondent to pay interest at the rate of 6% p.a. for the belated payment of terminal benefits to the petitioner within a period of six (6) weeks from the date of receipt of a copy of this order. It is made clear that if the amount is not paid within the time frame fixed by this Court, it will fetch interest at the rate of 12% p.a. from the date on which the amount became due and payable till the date of actual realisation."

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6. The aforesaid decision is squarely applicable to the facts of the present case. Accordingly, applying the ratio laid down in the above case, this writ petition stands disposed of with a direction to the respondents to pay interest at the rate of 6% p.a. for the belated payment of terminal benefits such as, Provident fund, Gratuity, Commutation & Earned leave salary amounts with effect from 04.10.2023, in favour of the petitioner and also settle the eligible Pension arrears and VRS compensation with effect from 04.10.2023, in favour of the petitioner along with interest at the rate of 6% p.a., within a period of eight (8) weeks from the date of receipt of a copy of this order. It is made clear that, if the amount is not paid within the time frame fixed by this Court, it will fetch interest at the rate of 9% p.a. from the date on which the amount became due and payable till the date of actual realisation. There shall be no order as to costs. 26.09.2025 (3/5) skt Index : Yes/No Speaking order : Yes/No NCC : Yes/No 4/6

To:

1.

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

2.

The General Manager, Tamil Nadu State Transport Corporation (Salem) Limited, Dharmapuri Region, Bharathipuram, Dharmapuri District. 3.

The Administrator, Tamil Nadu State Transport Corporation Employees Welfare Fund Trust, Thiruvalluvar House, Pallavan Salai, Chenani - 600 002.

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A.D.JAGADISH CHANDIRA, J.

skt (3/5) 26.09.2025 6/6