J.Lawrence Sr.Asst St.No-17178 (Retired) v. The Managing Director
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 26.09.2025
CORAM:
THE HON'BLE MR.JUSTICE A.D.JAGADISH CHANDIRA J.Lawrence
...Petitioner
Vs.
1.
The Managing Director, Tamil Nadu State Transport Corporation (VPM) Ltd., 3/137, Salamedu, Kancheepuram Region, Valuthareddy - Post, Villupuram - 605 602.
2.
The Administrator, Tamil Nadu State Transport Corporation Employees Pension Fund Trust, Thiruvalluvar House, Pallavan Salai, Chennai - 600 002.
...Respondents
Writ Petition filed under Article 226 of the Constitution of India, to issue a Writ of Mandamus, directing the respondents to pay interest on the belated payment of terminal benefits namely such as Provident fund amount, Gratuity amount, Commutation of pension amount and Leave Salary amount to the petitioner at the rate of 6% per annum, for the period from (30.09.2023) the date of retirement to till the date of actual disbursement within a time frame.
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For Petitioner : Mr.V.S.Jagadeesan For Respondents : Ms.S.Pavithra, Standing Counsel, for R1 : Mr.C.S.K.Sathish, Standing Counsel, for R2
ORDER
Aggrieved by the belated payment of retirement benefits such as Provident fund amount, Gratuity amount, Commutation of pension amount and Leave Salary amount, the present writ petition has been filed seeking interest at the rate of 6% per annum for the period from the date of retirement till the date of actual disbursement.
2. Ms.S.Pavithra, learned Standing Counsel takes notice on behalf of the 1st respondent, Mr.C.S.K.Sathish, learned Standing Counsel takes notice on behalf of the 2nd 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. The case of the petitioner is that, after rendering 30 years of unblemished service under the respondent corporation, the petitioner retired 2/6
from service as a Senior Assistant on 30.09.2023, after attaining the age of superannuation. However, the petitioner has been paid his terminal benefits only on 25.08.2025, after a lapse of about two years. Since there was a delay in settling the terminal benefits, the petitioner made several representations seeking payment of interest towards the delay in disbursing the retirement benefits, which evoked no response. Hence, this writ petition.
4. Learned counsel for the petitioner submits that the issue involved in this writ petition is no longer res integra and the same has already been decided by a Co-ordinate Bench of this Court 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.
5. Learned Standing Counsels appearing for the respective respondents did not dispute the above submission made by the learned counsel for the petitioner.
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6. 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."
7. 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 amount, Gratuity amount, Commutation of pension amount and Leave Salary amount, in favour of the petitioner within a period of eight (8) weeks from the date of receipt of a copy of this order. It 4/6
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 skt Index : Yes/No Speaking order : Yes/No NCC : Yes/No To:
1.
The Managing Director, Tamil Nadu State Transport Corporation (VPM) Ltd., 3/137, Salamedu, Kancheepuram Region, Valuthareddy - Post, Villupuram - 605 602.
2.
The Administrator, Tamil Nadu State Transport Corporation Employees Pension Fund Trust, Thiruvalluvar House, Pallavan Salai, Chennai - 600 002.
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A.D.JAGADISH CHANDIRA, J.
skt 26.09.2025 6/6