Madras High Court
Unknown vs The Managing Director on 17 April, 2021
WP NO.9365 OF 2021
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 17.04.2021
CORAM
THE HONOURABLE MR. JUSTICE M.GOVINDARAJ
WP NO.9365 OF 2021
1.R.Narayanan
2.V.Jayabalan
3.K.Arumugam
4.K.Raja
5.S.Loganathan
6.S.Pachaiyappan
7.P.Janagiraman
8.S.Lakshmanan
9.D.Thirunavukarasu
10.K.Suresh
11.R.Kumarasamy
12.S.Dayalan
1/9
https://www.mhc.tn.gov.in/judis/
WP NO.9365 OF 2021
13.R.Sankar
14.A.Murugan
15.E.Karthikeyagan
16.R.Latchapathy
17.S.Jayapal
18.K.Pannerselvam .. Petitioners
Versus
1.The Managing Director
Tamil Nadu State Transport Corporation
(Villupuram) Ltd.,
Salamedu, Villupram
Villuparm District-605 602
2.The General Manager
Tamil Nadu State Transport Corporation
(Villupuram-III) Ltd.,
Thiruvannamalai Region
Bye pass road, Vengikkal
Thiruvannamalai District-606 604
3.The Administrator
Tamil Nadu State Transport Corporation
Employees Pension Fund Trust
Pallavan Salai, Chennai – 600 002. .. Respondents
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https://www.mhc.tn.gov.in/judis/
WP NO.9365 OF 2021
PRAYER: Writ Petition filed under Article 226 of the Constitution of India
praying to issue a Writ of Mandamus, directing the respondents to pay
interest @ 10% for the belated payment of gratuity, leave salary and
commutation of pension amount to the petitioners.
For Petitioner : Mr.S.T.Varadarajalu
For Respondents : Mr.C.S.K.Sathish
Standing Counsel
ORDER
Mr.C.S.K.Sathish, learned Standing Counsel, takes notice on
behalf of the respondents. By consent, the Writ Petition is taken up for final
disposal at the admission stage itself.
2.This Writ Petition has been filed by the petitioners seeking
for a direction to the respondents to pay interest @ 10% for the belated
payment of gratuity, leave salary and commutation of pension amount to
the petitioners.
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WP NO.9365 OF 2021
3.The petitioners have joined the services of the respondent /
Transport Corporation as Conductors and Drivers. Subsequently, they were
promoted in various categories and retired on various dates. On the date of
their retirement the Provident Fund amount alone was settled to them and
the other retiral benefits viz., commutation of pension, service gratuity and
leave salary were paid on the following dates. The details of post held, date
of retirement and the date of benefits paid to them are given below:
Sl.No Name Post held and date of Date of terminal
. retirement benefit paid
1 R.Narayanan Spl.Grade Conductor- 25.05.2018
30.06.2017
2 V.Jayabalan Traffic Inspector- 07.12.2017
30.06.2017
3 K.Arumugam Checking Inspector- 07.12.2017
30.06.2017
4. K.Raja Foreman-30.06.2017 07.12.2017
5. S.Loganathan Traffic Inspector- 07.08.2017
30.04.2017
6. S.Pachaiyappan Traffic Inspector- 16.06.2017
20.02.2017
7. P.Janagiraman Gardener-30.04.2018 19.09.2019
8. S.Lakshmanan Checking Inspector- 24.01.2021
30.09.2019
9. D.Thirunavukarasu Checking Inspector- 24.01.2021
30.04.2019
10 K.Suresh Driver-31.05.2019 24.01.2021
11 R.Kumarasamy Driver-30.06.2019 24.01.2021
12 S.Dayalan Driver-31.12.2019 24.01.2021
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WP NO.9365 OF 2021
Sl.No Name Post held and date of Date of terminal
. retirement benefit paid
13 R.Sankar Conductor-30.04.2019 24.01.2021
14 B.Murugan Driver-30.04.2019 24.01.2021
15 E.Karthikeyagan Driver-31.07.2019 24.01.2021
16 R.Latchapathy Conductor-31.07.2019 24.01.2021
17 S.Jayagopal Driver-31.10.2019 24.01.2021
18 K.Pannerselvam Conductor-30.06.2017 07.12.2017
Seeking interest for the belated payment of retiral benefits, the petitioners
are before this Court.
4.Heard the submissions made on either side.
5.It is well settled in very many cases that the employee is
entitled to interest for the belated payment of his retiral benefits. A Division
Bench of this Court in GOVERNMENT OF TAMIL NADU, REP. BY ITS
SECRETARY TO GOVERNMENT, REVENUE DEPARTMENT VS.
M.DEIVASIGAMANI [2009 (3) MLJ 01] has held that the employee is
entitled to interest on belated payment of pension and other retiral benefits,
even in the absence of statutory rules / administrative instructions or
guidelines and that he can claim interest under Part III of the Constitution,
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WP NO.9365 OF 2021
relying on Articles 14, 19 and 21 of the Constitution.
6.In a similar circumstance, the First Bench of this Court in
W.A.(MD) Nos.383 to 457 of 2015 on 12.06.2015, directed the respondent /
Transport Corporation to settle the terminal benefits of its employees in
equal monthly installments and to pay 6% interest on the terminal benefits
payable to the workman. It has also held that the workman is entitled to
18% interest for the defaulted period of installments.
7.Following the above judgments, a learned Single Judge of
this Court in W.P.No.15886 of 2020 on 19.01.2021, directed the
respondent/ Transport Corporation to pay interest @ 6% per annum, for the
belated payment of gratuity and other retiral benefits.
8.Considering the facts and circumstances of the case and also
considering the period of delay, this Court is inclined to grant interest @ 4%
per annum, for the belated payment of gratuity, leave salary and
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WP NO.9365 OF 2021
commutation of pension amount that are yet to be settled, in six equal
monthly installments, commencing from 01.06.2021. In case of delay in
making installments within the time stipulated supra, the interest payable
could be 10% for the delayed period to be recovered from the Officer
responsible for disbursement of the amount.
9.It is made clear that the aforesaid direction to pay interest
would not preclude the petitioners / workmen to question the computation
of any of the terminal benefits, if the same is paid lesser than the amount to
which, they are entitled to receive. Likewise, if the petitioners have any
grievance that they are entitled to interest for the amount already settled,
they can agitate the same as per law, if they are entitled.
10.The Writ Petition is disposed of with the above observation
and direction. No costs.
17.04.2021
Index : Yes / No
Internet : Yes / No
https://www.mhc.tn.gov.in/judis/
WP NO.9365 OF 2021
To
1.The Managing Director
Tamil Nadu State Transport Corporation
(Villupuram) Ltd.,
Salamedu, Villupram
Villuparm District-605 602
2.The General Manager
Tamil Nadu State Transport Corporation
(Villupuram-III) Ltd.,
Thiruvannamalai Region
Bye pass road, Vengikkal
Thiruvannamalai District-606 604
3.The Administrator
Tamil Nadu State Transport Corporation
Employees Pension Fund Trust
Pallavan Salai, Chennai – 600 002.
https://www.mhc.tn.gov.in/judis/
WP NO.9365 OF 2021
M.GOVINDARAJ, J.
Kpr
W.P.No.9365 OF 2021
17.04.2021
https://www.mhc.tn.gov.in/judis/
