C.Thirumarainathan v. The Additional Chief Secretary To Government Of Tamilnadu
BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT DATED : 11.03.2025
CORAM
THE HONOURABLE MR.JUSTICE BATTU DEVANAND C.Thirumarainathan ... Petitioner Vs.
1.The Additional Chief Secretary to Government of Tamilnadu, Transport Department, Fort St.George, Chennai - 600 009.
2.The Tamil Nadu State Transport Corporation (Kumbakonam) Ltd, Rep by its Managing Director, Kumbakonam.
3.The General Manager, The Tamil Nadu State Transport Corporation (Kumbakonam) Ltd, Nagapattinam Region, Nagapattinam.
4.The Administrator, Tamil Nadu State Transport Corporation Employees Pension Fund Trust, Pallavan Salai, Chennai - 600 002.
... Respondents PRAYER: Writ Petition filed under Article 226 of the Constitution of India for issuance of Writ of Mandamus, directing the respondents to settle the retirement benefits of the petitioner including provident fund of Rs.23,55,226/-, gratuity 1/7
amount of Rs.20,00,000/- and terminal leave salary amount of Rs.13,17,010/- totaling to Rs.56,72,236/- (Rupees Fifty six Lakhs Seventy Two Thousand Two Hundred and Thirty Six only) together with interest at the rate of 6% per annum from the date of his retirement i.e.31.05.2024 to till the date on which the said benefits are settled to him.
For Petitioner : Mr.A.Rahul For R1 : Mr.N.Satheesh Kumar Additional Government Pleader For R2 & R3 : Mr.K.Jagadeesh Balan Standing Counsel For R4 : Mr.S.C.Herold Singh Standing Counsel
O R D E R
This writ petition has been filed seeking a writ of Mandamus directing the respondents to settle the retirement benefits of the petitioner including provident fund, gratuity and terminal leave salary amount together with interest at the rate of 6% per annum from the date of his retirement i.e.31.05.2024 to till the date on which the said benefits are settled to him.
2. The facts of the case are that the petitioner joined in the second respondent Corporation as Junior Engineer with effect from 19.01.1987. After 2/7
periodical promotion, the petitioner was promoted as Senior Assistant Engineer. He retired from service on 31.05.2024 under voluntary retirement scheme due to illness. His actual date of superannuation is 30.06.2025. Though the respondents had allowed the petitioner to retire from service with effect from 31.05.2024 under voluntary retirement scheme, the retirement benefits were not disbursed to the petitioner. In fact, one year prior to his retirement, he can withdraw 90% of his total provident fund accumulation as per Rule 13(1)(j) of TNSTC Employees Provident Fund Trust Rules. The amount of Rs.23,55,226/- is lying in the provident fund account, out of which, the petitioner is entitled to withdraw 90% of the said amount. But the respondents did not permit the petitioner to withdraw the said amount. As per the petitioner, he is entitled for a sum of Rs.23,55,226/- towards provident fund, Rs.20,00,000/- towards gratuity and Rs.13,17,010/- towards terminal leave salary. Totally, the petitioner is entitled for a sum of Rs.50,72,236/- after his retirement.
3. The learned counsel for the petitioner submits that the petitioner suffered from heart ailments for which huge amount was required for his treatment. The petitioner has applied for voluntary retirement with a hope that he can get terminal benefits much earlier which will be useful for treatment. But 3/7
the terminal benefits were not disbursed even after 10 months from the date of his retirement. He borrowed funds from money lenders for his treatment. He needs funds to repay the same. Hence, he made representation, dated 25.11.2024 to the respondents. But till date, the amounts have not been paid. Aggrieved by the same, the petitioner approached this Court by filing this writ petition.
4. The learned Standing Counsel for the respondents 2 to 4 submits that the respondent Corporation is in financial crisis. They have to get funds from the State Government. Due to that reason, they could not settle the retirement benefits to the petitioner.
5. Having heard the submissions of the respective learned counsels and on perusal of the materials available on record, this Court is not in a position to accept the contention of the learned standing counsel for the respondents 2 to 4. Admittedly, the petitioner was allowed to retire voluntarily with effect from 31.05.2024. After retirement, the petitioner is entitled for retirement benefits, for which he is legally entitled. Without settling the same, the respondents 2 and 3 committed serious mistake by withholding the said benefits for the last ten 4/7
months, which is not permissible under the settled proposition of law. The retirement benefits such as provident fund, gratuity and other terminal benefits are bound due. The respondents are not paying the said amount as charity to the petitioner. The Hon'ble Apex Court and this Court time and again held that the employees after retirement are entitled for all the retirement and terminal benefits, for which they are entitled, as a matter of right. In the present case, it appears that the respondents 2 and 3 did not consider the representation, dated 25.11.2024 submitted by the petitioner to consider his grievance.
6. For the aforesaid reasons, this court intends to direct the respondents 2 and 3 to settle all the terminal benefits for which the petitioner is entitled towards provident fund, gratuity and terminal leave salary forthwith to the petitioner to meet the interest of justice.
7. Accordingly, this writ petition is allowed with the following directions:
1. The respondents 2 to 4 are directed to settle all the terminal benefits for which the petitioner is entitled and also release the pension to the petitioner forthwith.
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2. The respondents 2 to 4 are directed to pay 6% interest towards provident fund, gratuity and terminal leave salary from the date of his retirement till the date of actual payment to the petitioner. No costs.
11.03.2025 NCC:yes/no Index:yes/no Internet:yes/no Sn To:
1.The Additional Chief Secretary to Government of Tamilnadu, Transport Department, Fort St.George, Chennai - 600 009.
2.The Managing Director, The Tamil Nadu State Transport Corporation (Kumbakonam) Ltd, Kumbakonam.
3.The General Manager, The Tamil Nadu State Transport Corporation (Kumbakonam) Ltd, Nagapattinam Region, Nagapattinam.
4.The Administrator, Tamil Nadu State Transport Corporation Employees Pension Fund Trust, Pallavan Salai, Chennai - 600 002.
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BATTU DEVANAND , J.
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