Amirthalingam.C v. The Tamil Nadu State Transport Corporation (Tirunelveli) Ltd,

BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT DATED : 22.07.2022

CORAM

THE HONOURABLE MR.JUSTICE M.S.RAMESH C.Amirthalingam ... Petitioner Vs.

1.The Tamil Nadu State Transport Corporation (Tirunelveli) Limited, Tirunelveli Division, Represented by its Managing Director, Kattapomman Nagar, V.M.Chathiram, Tirunelveli.

2.The Tamil Nadu State Transport Corporation (Tirunelveli) Limited, Nagercoil Region, Represented by its General Manager, Ranithottam, Nagercoil.

...Respondents

Prayer : Writ Petition filed under Article 226 of the Constitution of India, praying this Court to issue a Writ of Mandamus, directing the respondents to pay interest at the rate of 12 % per annum, for the period of delay from the petitioner's date of retirement (31.05.2019) to till the date of reimbursement (27.01.2021) of amount paid towards the petitioner's terminal and pension benefits namely EPF Employee's Contribution, Gratuity and Encashment of Earned/Sick Leave, within a time frame as may be fixed by this Court, without affecting the petitioner's right to claim balance amounts towards those benefits. 1/5

For Petitioner : Mr.R.Murugan For Respondents : Mr.D.Jebaraj, Standing Counsel.

ORDER

By consent of both parties, this Writ Petition is taken up for final disposal at the stage of admission itself.

2.Aggrieved against the belated settlement of the terminal benefits to the petitioner, he has claimed interest on the belated payment in this Writ Petition. 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.

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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 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 respondents 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.At this juncture, Mr.D.Jebaraj, learned Standing Counsel appearing for the respondent Corporation would submit that owing to the Covid-19 pandemic situation and non-plying of buses for a considerable time, there has been a heavy revenue loss for the Corporation and therefore, the period of payment spread over three months, as ordered in the earlier Writ Petition, can be extended, so as to enable them to pay the interest amount, within a period of six months.

6.The learned counsel for the petitioner also does not have any objections to the same.

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7.In this background, there shall be a direction to the respondents to pay the interest to the petitioner at the rate of 6% per annum on the belated payment of the retirement benefits, commencing from the date of retirement, till the date of actual disbursement, within a period of three (3) months from the date of receipt of a copy of this order.

8.This Writ Petition stands partly allowed in accordance with the above terms. There shall be no order as to costs.

22.07.2022 Index : Yes / No Internet : Yes/ No Lm/btr To 1.The Managing Director, The Tamil Nadu State Transport Corporation (Tirunelveli) Limited, Tirunelveli Division, Kattapomman Nagar, V.M.Chathiram, Tirunelveli.

2.The General Manager, The Tamil Nadu State Transport Corporation (Tirunelveli) Limited, Nagercoil Region, Ranithottam, Nagercoil.

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M.S.RAMESH , J.

Lm/btr 22.07.2022 5/5