Madras High Court
V.Shanmugam vs The Management Of on 21 October, 2021
W.P.No.22180 of 2021
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 21.10.2021
CORAM
THE HONOURABLE MR.JUSTICE C.SARAVANAN
W.P.No.22180 of 2021
(Through Video Conferencing)
V.Shanmugam ... Petitioner
Vs
1.The Management of
Tamil Nadu Transport Corporation (Kovai) Ltd,
Erode Region,
Rep by its Managing Director,
Erode.
2.The Administrator,
Tamil Nadu State Transport Employees' Pension
Fund Trust,
Thiruvalluvar Illam,
Anna Salai, Chennai – 2. ... Respondents
Prayer : Petition filed under Article 226 of the Constitution of India to issue a
Writ of Mandamus, to direct the respondents to pay the petitioner interest at
the rate of 18% per annum, for the period of delay from 01.07.18 to 20.09.19,
in paying the amounts paid towards the terminal and pension benefits of the
petitioner namely EPF Employee's Contribution, Gratuity, Encashment of
Earned/Sick Leaves and Commutated value of Pension, within a time frame
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W.P.No.22180 of 2021
as may be fixed by this Court and without affecting his right to claim balance
amounts towards those benefits.
For Petitioner : Mr.V.Ajoy Khose
For Respondent : Mr.A.Sundaravadhanam
Standing Counsel
ORDER
This Writ Petition has been filed for a Writ of Mandamus, to direct the
respondents to pay the petitioner interest at the rate of 18% per annum, for
the period of delay from 01.07.18 to 20.09.19, in paying the amounts paid
towards the terminal and pension benefits of the petitioner namely EPF
Employee's Contribution, Gratuity, Encashment of Earned/Sick Leaves and
Commutated value of Pension 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. The First
Bench of the Madurai Bench of this Court has also held that workman is
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W.P.No.22180 of 2021
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.”
4. Considering the same, this Writ Petition is disposed by directing the
respondents to consider the representation dated 30.06.2021 of the petitioner
and to pay the terminal and pension benefits of the petitioner namely EPF
Employee's contribution, Gratuity and Encashment of Earned/ Sick Leaves
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W.P.No.22180 of 2021
and other legal dues to the petitioner in six equated monthly instalments
commencing from 1st December, 2021. No costs.
21.10.2021
(1/8)
Index: Yes/ No
Internet : Yes/No
Speaking/Non-speaking Order
jas
To
1.The Managing Director,
The Management of
Tamil Nadu Transport Corporation (Kovai) Ltd,
Erode Region,
Erode.
2.The Administrator,
Tamil Nadu State Transport Employees' Pension
Fund Trust,
Thiruvalluvar Illam,
Anna Salai, Chennai – 2.
https://www.mhc.tn.gov.in/judis/
W.P.No.22180 of 2021
C.SARAVANAN,J.
jas
W.P.No.22180 of 2021
21.10.2021
https://www.mhc.tn.gov.in/judis/
