Madras High Court
S.Selvaraj vs Tamil Nadu State Transport ... on 29 October, 2021
W.P.Nos.23346 of 2021 etc batch
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 29.10.2021
CORAM
THE HON'BLE MR.JUSTICE C.SARAVANAN
W.P.Nos.23346, 23350, 23352, 23354, 23355, 23358 & 23361 of 2021
(Through Video Conferencing)
1.S.Selvaraj ... Petitioner
in W.P.No.23346 of 2021
2.P.Ramalingam ... Petitioner
in W.P.No.23350 of 2021
3.P.Venkatesan ... Petitioner
in W.P.No.23352 of 2021
4.D.Balan ... Petitioner
in W.P.No.23354 of 2021
5.K.Balachandran ... Petitioner
in W.P.No.23355 of 2021
6.R.Natarajan ... Petitioner
in W.P.No.23358 of 2021
7.L.Eswaran ... Petitioner
in W.P.No.23361 of 2021
Vs.
Tamil Nadu State Transport Corporation (Salem) Limited,
Represented by its Managing Director
No.12, Ramakrishna Road,
Salem – 7. ... Respondent in all W.Ps
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https://www.mhc.tn.gov.in/judis
Page No. 1 of 6
W.P.Nos.23346 of 2021 etc batch
Prayer in W.P.Nos.23346, 23358 of 2021: Writ Petitions filed under Article
226 of Constitution of India, for issuance of a Writ of Mandamus directing
the respondent to pay the petitioners interest at the rate of 6% per annum for
the belated payment of Provident Fund, Gratuity and Earned Leave Salary to
pay them wages towards 45 days of earned leaves surrendered by the
petitioners, while they were in service; to settle the amounts payable under
the Social Security Scheme, Family Benefit Fund, IRT Contributions and to
refund of contributions under the Post Retirement Benefit scheme, together
with interest at the rate of 6% within a specified time.
Prayer in W.P.Nos.23350, 23352, 23354, 23355 & 23361 of 2021: Writ
Petitions filed under Article 226 of Constitution of India, for issuance of a
Writ of Mandamus directing the respondent to pay the petitioners interest at
the rate of 6% per annum for the belated payment of Provident Fund,
Gratuity and Earned Leave Salary to pay them wages towards 30 days of
earned leaves surrendered by the petitioners, while they were in service; to
settle the amounts payable under the Social Security Scheme, Family Benefit
Fund, IRT Contributions and to refund of contributions under the Post
Retirement Benefit scheme, together with interest at the rate of 6% within a
specified time.
For Petitioners : Mr.V.Ajoy Khose
(In all W.Ps)
For Respondent : Mr.D.Raghu
(In all W.Ps) Standing Counsel
COMMON ORDER
These Writ Petitions have been filed for a Writ of Mandamus, to direct
the respondent, to pay the petitioners interest at the rate of 6% per annum for
the belated payment of Provident Fund, Gratuity and Earned Leave Salary
towards wages for 30 days and 45 days of earned leaves surrendered by the
petitioners, while they were in service and also to settle the amounts payable
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https://www.mhc.tn.gov.in/judis
Page No. 2 of 6
W.P.Nos.23346 of 2021 etc batch
under the Social Security Scheme, Family Benefit Fund, IRT Contributions
and to refund of contributions under the Post Retirement Benefit scheme,
together with interest at the rate of 6% per annum 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
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:-
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https://www.mhc.tn.gov.in/judis
Page No. 3 of 6
W.P.Nos.23346 of 2021 etc batch
“(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, these Writ Petitions are disposed by directing
the respondent to consider the representations of the petitioners and to pay
interest at the rate of 4% per annum for the belated payment of Provident
Fund, Gratuity, Earned Leave Salary and other legal dues to the petitioners in
six equated monthly instalments commencing from 1st December, 2021. No
costs.
29.10.2021
Index: Yes/ No
Internet : Yes/No
Speaking/Non-speaking Order
arb
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Page No. 4 of 6
W.P.Nos.23346 of 2021 etc batch
To
The Managing Director,
Tamil Nadu State Transport Corporation (Salem) Ltd.,
No.12, Ramakrishna Road,
Salem-7.
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https://www.mhc.tn.gov.in/judis
Page No. 5 of 6
W.P.Nos.23346 of 2021 etc batch
C.SARAVANAN,J.
arb
W.P.Nos.23346, 23350, 23352, 23354,
23355, 23358 & 23361 of 2021
29.10.2021
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https://www.mhc.tn.gov.in/judis
