V.Ellappan C.I. St.No. 14079 v. The Managing Director
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 03-11-2025
CORAM
THE HONOURABLE MR JUSTICE G.K. ILANTHIRAIYAN
1. V.Ellappan C.I.
Petitioner(s) Vs
1. The Managing Director Tamil Nadu State Transport Corporation (VPM) Ltd., 3/137 Salamedu, Kancheepuram Region, Valuthareddy Post, Villupuram 605602.
2.The Administrator Tamil Nadu State Transport Corporation Employees Pension Fund Trust, Thiruvalluvar House, Pallavan Salai, Chennai 600002.
Respondent(s) PRAYER Directing the respondents to pay interest on the belated payment of terminal benefits such as Provident fund, Gratuity, Pension Commutation and Earned Leave amount to the petitioner at the rate of 6 percentage per annum, for the period from 31.07.2023 the date of retirement to till the date of actual disbursement.
For Petitioner :
Mr.V.S.Jagadeesan For Respondents:
Mrs.S.Pavithra Standing Counsel
ORDER
This Writ Petition has been filed for direction directing the respondents to pay appropriate interest to the petitioner for the delayed sanction and disbursement of retirement benefits.
2. Heard the learned counsel appearing on either side and perused the materials available on record.
3. In identical issues, this Court has passed various orders, justifying the payment of interest to the aggrieved pensioners and in the order dated 13.12.2019 in W.P.(MD) No.26481 of 2019, the following order came to be passed :- "5. I am not in agreement with the said representation made. There was already a duty cast on the respondent Corporation to pay the terminal benefits on the date of
retirement itself and the very fact that the belated disbursement of retirement benefit, had already put the retired employee to serious prejudice, entertaining the present request for disbursement of the interest on the belated payment in installments, could cause further prejudice to the retired employee.
6. In the light of the above observations, there shall be a direction to the respondent / Corporation to pay the penal interest at the rate of 6% per annum on the belated payment of the retirement benefits for the period from the date of the retirement, till the date of the actual disbursement, as expeditiously as possible and in any event, not before the expiry of three months from the date of receipt of a copy of this order.
4. This Court is of the view that the first respondent could be directed to pay the interest on the belated payment, at the rate of 6% per annum, as ordered in the above writ petition.
5. In the light of the above findings, there shall be a direction to the first respondent herein to pay the interest on the belated payment of the terminal benefits to the petitioner at the rate of 6% per annum, commencing
from the date of the 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, this Writ Petition is disposed of. No costs.
03-11-2025 Index:Yes/No Speaking/Non-speaking order Internet:Yes mrn
To
1. The Managing Director Tamil Nadu State Transport Corporation (VPM) Ltd., 3/137 Salamedu, Kancheepuram Region, Valuthareddy Post, Villupuram 605602.
2.The Administrator Tamil Nadu State Transport Corporation Employees Pension Fund Trust, Thiruvalluvar House, Pallavan Salai, Chennai 600002.
G.K.ILANTHIRAIYAN J.
mrn 03/11/25