P.Arasu v. The Managing Director

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 22.12.2023

CORAM:

THE HONOURABLE MR. JUSTICE M.S. RAMESH P. Arasu ... Petitioner Vs.

The Managing Director, Tamil Nadu State Transport Corporation (Cbe) Ltd., No.37, Mettupalayam Road, Coimbatore - 641 043.

... Respondent PRAYER: Writ Petition filed under Article 226 of the Constitution of India praying to issue a Writ of Mandamus, directing the respondent to pay interest for the delayed payments made to the petitioner in respect of retirement benefits of Earn Leave Salary and Earn Leave Surrender Amount within a specific period.

For Petitioner : Mr.N.S. Suganthan For Respondent : Mr.A. Vinothraj, 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 petitioner herein had retired from service on 31.05.2018. However, his terminal benefits came to be settled belatedly on 02.08.2023 and the respondent has not paid interest for the belated payment. In this regard, the petitioner has given a representation to the respondent on 10.10.2023, 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 be entitled for interest at the rate of 6% per annum. In this background, this Court is of the view that if the respondent is directed to pay interest on the belated payment of the terminal benefits of the petitioner, the ends of justice could be secured. 2/4

4. In the light of the above observations, there shall be a direction to the respondent herein, to settle the interest amount at the rate of 6% per annum on the belated payment of the terminal benefits from the date of the petitioner's retirement till the date of actual payment, within a period of four (4) 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.

22.12.2023 Index:Yes/No Speaking order/Non-speaking order Internet: Yes/No Sni To The Managing Director, Tamil Nadu State Transport Corporation (Cbe) Ltd., No.37, Mettupalayam Road, Coimbatore - 641 043.

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M.S.RAMESH,J.

Sni 22.12.2023 4/4