Vardharajan v. The Managing Director
W.P.(MD) No.26664 of 2019 BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT DATED: 16.12.2019
CORAM:
THE HONOURABLE MR.JUSTICE M.S.RAMESH W.P.(MD) No.26664 of 2019 Vardharajan ... Petitioner vs.
1) The Managing Director, Tamil Nadu State Transport Corporation (KMB) Ltd., New Railway Station Road, Kumbakonam 612 001
2) The Administrator, Tamil Nadu State Transport Corporation Ltd., Employee Pensions Fund Trust, Thiruvalluvar Illam, Pallavan Salai, Chennai 2 ... Respondents PRAYER: Writ Petition filed under Article 226 of the Constitution of India for issuance of Writ of Mandamus, directing the respondents to disburse interest at the rate of 6% for retirement benefits Gratuity, Provident Fund, Leave salary and commutation. For Petitioner :
Mr.K.Gokul For R-1 :
Mr.P.Balasubramanian For R-2 :
Mr.A.Swaminathan
O R D E R
By consent of both parties, this writ petition is taken up for final disposal at the stage of admission itself. 2.The petitioner's retirement benefits were settled belatedly on 31.08.2019 and in view of such belated settlement, the present writ petition has been filed seeking for interest on the belated payment of the terminal benefits.
3.It is brought to the notice of this Court that in an identical cases, a batch of writ petitions entertained by this Court and directions have been issued to the respondents to pay the interest at the rate of 6% on the belated payment of the terminal benefits. This Court does not intend to deviate from the said procedure.
https://hcservices.ecourts.gov.in/hcservices/ 1/2
W.P.(MD) No.26664 of 2019 4.The learned Standing Counsel appearing for the respondents would submit that in view of the financial burden cast on the respondent Corporation, they may be permitted to pay the interest on the belated payment in a liberal monthly installments. 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 actual disbursement, as expeditiously as possible and in any event, before the expiry of three months from the date of receipt of a copy of this order.
7.With the above directions, this Writ Petition is disposed of. No costs.
Sd/- Assistant Registrar (CS-II) // True Copy // Sub Assistant Registrar To
1) The Managing Director, Tamil Nadu State Transport Corporation (KMB) Ltd., New Railway Station Road,Kumbakonam 612 001.
2) The Administrator, Tamil Nadu State Transport Corporation Ltd., Employee Pensions Fund Trust, Thiruvalluvar Illam, Pallavan Salai,Chennai 2.
+1 CC to M/s.M/S.K.GOKUL, Advocate ( SR-105149[F] dated 16/12/2019 ) +1CC to M/s.P.BALASUBRAMANIAN, Advocate SR-105479[F]dated 17/12/2019 Order made in W.P.(MD) No.26664 of 2019 Dated:16.12.2019 STS MS/03.01.2020/2P.5C https://hcservices.ecourts.gov.in/hcservices/ 2/2