C. Chandran v. The Managing Director

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 26-11-2025

CORAM

THE HONOURABLE MR JUSTICE G.K. ILANTHIRAIYAN C.Chandran Petitioner(s) Vs

1. The Managing Director Tamil Nadu State Transport Corporation (Salem) Limited, No.12 Ramakrishna Road, Salem-636007 2.The General Manager Tamil Nadu State Transport Corporation (Salem) Limited, Dharmapuri Region, Bharathipuram, Dharmapuri 3.The Administrator, TNSTC Employees Pension Fund Trust, Office of the SETC HO, Thiruvalluvar House, Pallavan Salai, Chennai-600 002.

Respondent(s) PRAYER Writ Petition filed under Article 226 of Constitution of India for the issuance of Writ of Mandamus, directing the Respondents to disburse the 6 percentage interest for belated payment of Provident Fund, Gratuity, Pension Commutation and Earned Leave Salary and consequently direct the respondents to pay the unsettled terminal benefits namely Surrendered Leave Salary and 10 days last drawn salary within the stipulated time as may be fixed by this Court.

For Petitioner(s):

Mr. J. Pradeep For Respondent(s):

Mr.K.Raja Standing Counsel

ORDER

This Writ Petition has been filed for a 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 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 26-11-2025 Index:Yes/No Speaking/Non-speaking order Internet:Yes mrn

To 1.The Managing Director Tamil Nadu State Transport Corporation (Salem) Limited, No.12 Ramakrishna Road, Salem-636007 2.The General Manager Tamil Nadu State Transport Corporation (Salem) Limited, Dharmapuri Region, Bharathipuram, Dharmapuri.

3.The Administrator, TNSTC Employees Pension Fund Trust, Office of the SETC HO, Thiruvalluvar House, Pallavan Salai, Chennai-600 002.

G.K.ILANTHIRAIYAN, J.

mrn 26-11-2025