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Madras High CourtWP(MD)/19328/2021allowed

Karuppaiah.A v. The Management Of

2021-10-28Honourable Mr Justice D. Krishnakumar3 pages

BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT DATED : 28.10.2021

CORAM:

THE HONOURABLE MR.JUSTICE D.KRISHNAKUMAR A.Karuppaiah ... Petitioner -vs1.The Management of Tamilnadu State Transport Corporation (Kumbakonam) Ltd., Trichy Region rep.by its General Manager Trichy 2.The Administrator Tamil Nadu State Transport Employees'

Pension Fund Trust Thiruvalluvar Illam Anna Salai, Chenna-2 ... Respondents PRAYER: Petition filed under Article 226 of the Constitution of India, to issue a writ of mandamus directing the respondents to pay interest to the petitioner at the rate of 6% per annum, for the period of delay from 01.07.2018 to 20.09.2019 in paying the amounts paid towards his terminal and pension benefits namely EPF Employee's Contribution, Gratuity, Encashment of Earned/Sick Leaves and Commutated Value of Pension, within a time frame fixed by this Court and without affecting his rights to claim balance amounts towards those benefits.

For Petitioner :

Mr.Arunachalam.S.

For Respondents :

Mr.P.Balasubramanian, Standing Counsel

O R D E R

The prayer in this writ petition is for issuance of a writ of mandamus directing the respondents to pay interest at the rate of 6% per annum, for the delay period i.e. from 01.07.2018 to 20.09.2019 in paying the amounts towards the petitioner's terminal and pension benefits, namely EPF Employee's Contribution, Gratuity, Encashment of Earned/Sick Leaves and Commutated Value of Pension, within a time stipulated by this Court and without affecting his rights to claim balance amounts towards those benefits.

2. Heard the learned counsel appearing for the petitioner and the learned Standing Counsel appearing for the respondents.

3. The petitioner is a retired employee of the respondent Transport Corporation. He retired from service on 30.06.2018. The 1/3

respondents have settled the retirement benefits to the petitioner only in the month of September, 2019.

4. According to the petitioner, the issue involved in the present writ petition is that the respondents have settled the aforesaid amount belatedly, after a delay of more than one year and they have also not paid interest for the belated payment to the petitioner. Hence, the petitioner has made a representation to the concerned Authorities to pay interest for the belated payment. The petitioner has also relied on the decision of the earlier writ petition of this Court in W.P.(MD)No.19950 of 2020 dated 04.01.2021, J. Gurumoorthy vs TNSTC (Kumbakonam) Ltd. In the above referred decision, this Court has fixed the rate of interest at 6% per annum for the belated payment of retirement benefits. On the same line, orders to be in the present writ petition.

5. The learned Standing Counsel appearing for respondents would submit that the respondents have settled the retirement benefits to the petitioner belatedly. Therefore, the petitioner is entitled for interest as decided in the earlier writ petition of this Court in W.P.(MD).No.19950 of 2020.

6. In the light of the above observations and with the consent of both parties, there shall be a direction to the respondents 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, within a period of four months from the date of receipt of a copy of this order, subject to the condition that if the petitioner has not already given up his right for claiming interest for the retirement benefits.

7. Accordingly, the writ petitio is allowed. No costs. Sd/- Assistant Registrar (CRL) // True Copy // / /2021 Sub Assistant Registrar(CS) Note :In view of the present lock down owing to COVID-19 pandemic, a web copy of the order may be utilized for official purposes, but, ensuring that the copy of the order that is presented is the correct copy, shall be the responsibility of the advocate / litigant concerned.

krk/dn 2/3

TO 1.The General Manager The Management of Tamilnadu State Transport Corporation (Kumbakonam) Ltd., Trichy Region Trichy 2.The Administrator Tamil Nadu State Transport Employees'

Pension Fund Trust Thiruvalluvar Illam Anna Salai, Chenna-2 +1 CC to M/s.P. BALASUBRAMANIAN, Advocate ( SR-33124[F] dated 28/10/2021 ) 28.10.2021 PS(CO) KB(19.11.2021) 3P 4C 3/3