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G.Prema vs The Managing Director
2021 Latest Caselaw 13228 Mad

Citation : 2021 Latest Caselaw 13228 Mad
Judgement Date : 6 July, 2021

Madras High Court
G.Prema vs The Managing Director on 6 July, 2021
                                                                   W.P(MD)No.11123 of 2021

                           BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT

                                              DATED: 06.07.2021

                                                  CORAM:

                                   THE HONOURABLE MS.JUSTICE V.M.VELUMANI

                                          W.P(MD)No.11123 of 2021

                 G.Prema                                              ... Petitioner
                                                    vs.
                 1.The Managing Director,
                   The Tamil Nadu State Transport Corporation
                     (Kumbakonam) Limited,
                   27, New Railway Station Road,
                   Kumbakonam – 612 001, Thanjavur District.

                 2.The Financial Advisor,
                   The Tamil Nadu State Transport Corporation
                     (Kumbakonam) Limited,
                   27, New Railway Station Road,
                   Kumbakonam – 612 001,
                   Thanjavur District.

                 3.The Administrator,
                   TNSTC Employees Pension Trust,
                   SETC (TN) Limited, No.2, Pallavansalai,
                   Chennai – 600 002.                                 ... Respondents


                 Prayer: Writ Petition filed under Article 226 of the Constitution of India
                 for issuance of a Writ of Mandamus, to direct the respondents to settle
                 ERPS (Employees Retirement Pension Scheme) amount for the period
                 from 01.09.1992 to till the date on 31.12.2016 and surrender leave
                 salary for 252-1/2 days in respect of the years 2010-11 to 2018-19


                 1/8

https://www.mhc.tn.gov.in/judis/
                                                                         W.P(MD)No.11123 of 2021

                 together with interest at the rate of 6% per annum payable as per Court
                 direction, in one installment to the petitioner according to the last drawn
                 salary in the month of November, 2019 to the petitioner as per the
                 representation dated 07.05.2021.
                                   For Petitioner   : Mr.K.Gokul


                                   For RR 1 & 2     : Mr.D.Sivaraman
                                                      Standing Counsel

                                                       ORDER

Mr.D.Sivaraman, learned Standing Counsel takes notice for the

respondents 1 and 2.

2.Since the petitioner, who is the retired employee of the Transport

Corporation, claims to have not been paid with the surrender leave

salary for 252-1/2 days and the retirement benefits ie., Employees

Retirement Pension Scheme amount with interest, the present writ

petition has been filed seeking for a direction in that regard.

3.The petitioner would submit that she has already made a

representation, dated 07.05.2021, in this regard, which is said to be

pending. If the said representation is directed to be disposed of within

stipulated time, the ends of justice could be secured.

https://www.mhc.tn.gov.in/judis/ W.P(MD)No.11123 of 2021

4.Whenever a representation is made to a statutory authority to

redress the claim of the employee, there is a duty cast upon the

respondents to consider the same on its own merits and pass

appropriate orders in one way or other, instead of keeping the same

pending indefinitely. Such an inaction would amount to dereliction of

duties and thereby this Court would be justified in invoking its

extraordinary powers under Article 226 of Constitution of India and

thereby direct such authority to consider the representation within the

stipulated time.

5.An identical issue with regard to the surrender leave salary came

up for consideration before the Division Bench of this Court in W.A(MD)

No.210 of 2019 and the Hon'ble Division Bench by Judgment dated

04.09.2019 had upheld the view of the learned Single Judge, against

which the writ appeal came to be filed and also rejected the Corporation

plea that the employee had not claimed the encashment of the surrender

leave within the stipulated time. The relevant portion of the said order

reads as follows:-

https://www.mhc.tn.gov.in/judis/ W.P(MD)No.11123 of 2021

'2. This appeal is filed by the Tamil Nadu State Transport Corporation, Kumbakonam Division. The respondent filed W.P(MD).No.2449 of 2018 praying for a Writ of Certiorarified Mandamus to quash the order dated 21.12.2017 and direct the appellants to settle the petitioner's surrender leave salary. The appellant Corporation resisted the claim by contending that even though as per the settlement entered into under Section 12(3) of the Industrial Dispute Act, the employee is entitled for surrendering and encashing 15 days in one year or 30 days in two years, the same has not been done by the writ petitioner during his service during 2011-2014 and after superannuation only in the year 2016, he has made a claim of surrender of earn leave, based on the circular issued by the appellant Corporation, dated 09.01.2017. Further, it is submitted that the circular is not meant for enabling the retired employees to renew their claim of surrendering their earned leave of 15 days in a year during the service i.e., between 2011-2014 and it is applicable only for existing employees. Therefore, it is submitted that the respondent/writ petitioner cannot lay his claim based upon the circular, dated 09.01.2017.

3.The learned counsel appearing for the respondent/writ petitioner submitted that though the petitioner superannuated on 31.05.2016, from the year 2011 onwards, the said practice of surrendering 15 days or 50% of the earn leave per year was done away by the appellants Corporation on account of financial crises. Further, the action based on the settlement entered into under Section 12(3) of the Act was not available to the respondent/writ petitioner, because the appellants Transport

https://www.mhc.tn.gov.in/judis/ W.P(MD)No.11123 of 2021

Corporation is citing financial crisis. The learned Single Judge took into consideration the facts placed before him and also noted the circular dated 09.01.2017 and taking note of the fact that there is record to show that the appellants transport corporation pleaded financial crises for non-settling the surrender leave salary, allowed the writ petition. 4.While doing so, the Writ Court referred to an earlier order in the case of A.Sundararajan Vs., Tamil Nadu State of Transport Corporation (Kumbakonam Limited) [W.P(MD).No.24245 of 2016 etc batch], wherein similar relief sought for has been granted and the writ petitions were allowed and the appellants Transport Corporation was directed to implement the same. Thus in our considered view, the learned Single Judge has rightly gone into the factual position and took note of stand of the appellants corporation as to why earlier they did not permit surrender and allowed the writ petition. Therefore, we find that the appellants have not made out any ground to interfere with the order passed by the learned Single Judge.'

6.In the light of the above, this Court is of the view that the

petitioner would be entitled to claim salary for the surrender leave.

7.For all the forgoing reasons, although the petitioner has made a

representation dated 07.05.2021, the petitioner is directed to make a

fresh representation, enclosing a copy of this order, seeking for

settlement of her surrender leave salary and on receipt of the such

https://www.mhc.tn.gov.in/judis/ W.P(MD)No.11123 of 2021

representation, the respondents herein shall consider the same and

disburse the eligible leave salary through four equated monthly

installments in the light of the aforesaid Division Bench Judgment. The

respondents shall ensure that the first installment is disbursed at least

within a period of four weeks from the date of receipt of fresh

representation along with a copy of this order.

8.So far as non payment of ERPS (Employees Retirement Pension

Scheme) amount is concerned, the petitioner is directed to submit a

separate representation to the respondents along with a copy of this

order and the same shall be considered by the respondents within a

period of four weeks from the date of receipt of such representation. It is

needless to say that the petitioner is entitled to get interest for the

belated payment of terminal and pensionary benefits.

9.With the above directions, this Writ Petition stands disposed of.

No costs.

06.07.2021 Index : Yes / No Internet : Yes / No ps

https://www.mhc.tn.gov.in/judis/ W.P(MD)No.11123 of 2021

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.

To

1.The Managing Director, The Tamil Nadu State Transport Corporation (Kumbakonam) Limited, 27, New Railway Station Road, Kumbakonam – 612 001, Thanjavur District.

2.The Financial Advisor, The Tamil Nadu State Transport Corporation (Kumbakonam) Limited, 27, New Railway Station Road, Kumbakonam – 612 001, Thanjavur District.

3.The Administrator, TNSTC Employees Pension Trust, SETC (TN) Limited, No.2, Pallavansalai, Chennai – 600 002.

https://www.mhc.tn.gov.in/judis/ W.P(MD)No.11123 of 2021

V.M.VELUMANI,J.

ps

W.P(MD)No.11123 of 2021

06.07.2021

https://www.mhc.tn.gov.in/judis/

 
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