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M.Karunakaran vs Tamil Nadu State Transport
2021 Latest Caselaw 20368 Mad

Citation : 2021 Latest Caselaw 20368 Mad
Judgement Date : 4 October, 2021

Madras High Court
M.Karunakaran vs Tamil Nadu State Transport on 4 October, 2021
                                                                           W.P.No.21391 of 2021



                          IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                          DATED : 04.10.2021

                                                CORAM

                                THE HON'BLE MR.JUSTICE C.SARAVANAN

                                         W.P.No.21391 of 2021

                                      (Through Video Conferencing)

              M.Karunakaran                                            ... Petitioner


                                                   Vs.

              Tamil Nadu State Transport
                Corporation (Coimbatore) Limited,
              Represented by its Managing Director,
              Mettupalayam Salai, Coimbatore – 64103.                   ... Respondent

              Prayer: Writ Petition filed under Article 226 of Constitution of India, for
              issuance of a Writ of Mandamus directing the respondent to pay the
              petitioner interest at the rate of 6% per annum for the belated payment of the
              petitioner's Provident Fund, Gratuity, Earned Leave Salary and also to pay a
              sum of Rs.1,31,147/- towards difference in Gratuity with 6% interest per
              annum and a sum of Rs.34,171.50/- towards salary for 60 days earned leave
              surrendered by the petitioner, and a sum of Rs.1557/- towards difference in
              Salary by taking the petitioner's Dearness Allowance as Rs.6228/- as per the
              revision of the Dearness Allowance from 9% to 12% with effect from
              01.01.2019.


                 _____________
https://www.mhc.tn.gov.in/judis/
              Page No. 1 of 4
                                                                            W.P.No.21391 of 2021

                                   For Petitioner     : Ms.H.Nandhini

                                   For Respondent     : Mr.A.Sundaravadhanam
                                                        Standing Counsel



                                                    ORDER

This Writ Petition has been filed for a Writ of Mandamus, to direct the

respondent to pay interest at the rate of 6% per annum for the belated

payment of the petitioner's Provident Fund, Gratuity, Earned Leave Salary

and also to pay a sum of Rs.1,31,147/- towards difference in Gratuity with

6% interest per annum and a sum of Rs.34,171.50/- towards salary for 60

days earned leave surrendered by the petitioner, and a sum of Rs.1557/-

towards difference in Salary by taking the petitioner's Dearness Allowance as

Rs.6228/- as per the revision of the Dearness Allowance from 9% to 12%

with effect from 01.01.2019 in terms of the decision of the First Bench of the

Madurai Bench of this Court in W.A.(MD)Nos.383 to 457 of 2015.

2. The First Bench of the Madurai Bench of this Court, in the above

case, has directed the State Transport Corporation to settle the terminal

benefits of its employees in 12 equal monthly installments and to pay

interest at the rate of 6% on the terminal benefits payable to the workman.

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

W.P.No.21391 of 2021

The First Bench of the Madurai Bench of this Court has also held that

workman is entitled to 18% interest for the defaulted period of installments.

3. It is noticed that though the above observation of the First Bench of

the Madurai Bench of this Court was followed by a learned Single Judge in

W.P.No.15886 of 2020 vide order dated 19.01.2021, the learned Single

Judge has subsequently modified the views in W.P.No.506 of 2021 vide

order dated 24.03.2021 considering the constraints of the State Finance due

to the outbreak of Covid-19 with the following directions:-

“(i) Respondent/Transport Corporation is directed to pay interest @ 4% per annum to the Petitioner for the belated payment of gratuity, leave salary and communication of pension amount that are yet to be settled, in six equal monthly instalments, commencing 01.04.2021.

(ii) In case of delay in making instalments within the time stipulated supra, with reference to the judgment of the Division Bench of this Court (supra), interest payable for the period of delay shall be at 6% per annum.”

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

W.P.No.21391 of 2021

4. Considering the same, this Writ Petition is disposed by directing the

respondent to consider the representation dated 04.08.2021 of the petitioner

and to pay interest at the rate of 4% per annum for the belated payment of

Provident Fund, Gratuity and other legal dues to the petitioner in six equated

monthly instalments commencing from 1st November, 2021. No costs.

04.10.2021 (4/6)

Index : Yes/No Internet : Yes/No Speaking/Non-speaking Order

arb

To

The Managing Director, Tamil Nadu State Transport Corporation (Coimbatore) Limited, Mettupalayam Salai, Coimbatore – 64103.

W.P.No.21391 of 2021

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

 
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