Amit Kumar Banerjee vs The State Of West Bengal & Ors
2023 Latest Caselaw 1719 Cal/2

OD-9

                       IN THE HIGH COURT AT CALCUTTA
                      CONSTITUTIONAL WRIT JURISDICTION
                                  ORIGINAL SIDE

                                 WPO 3226 OF 2022

                              IN THE MATTR OF:
                           AMIT KUMAR BANERJEE
                                     VS
                      THE STATE OF WEST BENGAL & ORS.

BEFORE:
The Hon'ble JUSTICE LAPITA BANERJI

Date : 28th July, 2023.

Appearance:

Mr. Debdutta Basu, Adv.

For petitioner Mr. S. Bandapadhyay, Adv.

Mr. A. K. Nag, Adv.

For State Mr. Niladri Bhattacharjee,Adv.

Ms. Angana Dutta, Adv.

For WBTC LTD.

The Court : Affidavit of service filed in Court today is taken on record.

The writ petitioner was a permanent employee of West Bengal Transport

Corporation Limited (WBTCL), formerly known as The Calcutta Tramways

Company (1978) Ltd..

The writ petitioner retired from service with effect from May 31, 2019. The

retiral dues to the tune of Rs. 51,74,711/- were paid on September 21, 2019. The

petitioner prays for interest on the delayed payment of the retiral dues.

Mr. Basu, learned counsel appearing on behalf of the petitioner submits

that the petitioner has also prayed for interest on the delayed payment of the

differential amount of gratuity. The issue whether the differential amount of

gratuity will be paid from September 25, 2019 as per the notification for (Revision

of Pay and Allowance) Rules, 2019 or from the date when the Corporation sought

to implement the ROPA benefits to its employees is pending adjudication before

the Hon'ble Division Bench. Therefore, the claim on account of interest on

delayed payment of the differential amount of gratuity may be considered at a

later date.

The issue of payment of interest on delayed payment of retiral benefits has

been considered by the Hon'ble Supreme Court in two judgments reported in

2021 (11) SCC 543 (State of Andhra Pradesh & Anr. Vs. Dinavahi Lakshmi

Kameswari) and also in 2022 (4) SCC 627 (Dr. A.Selvaraj vs. CBM College &

Ors.). In Selvaraj (supra) it was held that the delay in payment of retiral benefits

was due to no fault on the part of the petitioner. It was an obligation on the part

of the employer to process the retiral benefits and pay the same within one

month of the date of the petitioner's retirement. Since the payment was not made

within one month, the interest was held to date back to the petitioner's date of

retirement.

The petitioner is entitled to claim such interest. Due to the assurance

made by the employer/State, the claim of the petitioner has attained a statutory

colour. A beneficial reference may be made to an order/judgment passed by the

Hon'ble Division Bench in F.M.A. 3942 of 2016 (Amarnath Tiwari & Ors. Vs.

State of West Bengal & Ors.). This Court is of the view that the laws of

limitation are not applicable in exercise of jurisdiction under Article 226 of the

Constitution of India relying on a judgment passed by the Apex Court reported in

2022 Live Law (SC) 785 (State of Rajasthan & Ors. Vs. O.P. Gupta). It has

also been held in the said decision that the Court cannot be oblivious to the

difficulties of a retired employee in approaching the Court, which could include

financial constraints.

Accordingly, this Court directs interest at the rate of 6% per annum to be

paid to the petitioner from June 1, 2019 (being the date subsequent to the date

of retirement) till September 21, 2019 (the date on which the actual payments

were made).

Such payment of interest on the delayed payment of retiral dues shall be

paid within three months from date. In the event of default, the rate shall stand

increased to 8% per annum.

The parties will be at liberty to mention the matter for further

consideration upon disposal of the appeal before the Hon'ble Division Bench.

(LAPITA BANERJI, J.)

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