Calcutta High Court
Md. Ibrahim vs The State Of West Bengal And Ors on 13 October, 2023
OD-17
IN THE HIGH COURT AT CALCUTTA
CONSTITUTIONAL WRIT JURISDICTION
ORIGINAL SIDE
WPO/1638/2023
MD. IBRAHIM
VS
THE STATE OF WEST BENGAL AND ORS
BEFORE:
The Hon'ble JUSTICE LAPITA BANERJI
Date : 13th October, 2023.
Appearance:
Mr. Debdutta Basu, Adv.
For petitioner
Ms. Deblina Chattaraj, Adv.
Ms. Angana Dutta, Adv.
...for respondent corporation.
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 April 30, 2017.
The retiral dues to the tune of Rs.20,80,780 /- were paid on July 24, 2017. 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 May 1, 2017 (being the date subsequent to the date
of retirement) till July 24, 2017 (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.)
SK.
