Disposed¶19

Phool Chand and 3 Others v. Union of India and 2 Others

Leave encashment – Interest on delayed payment

Allahabad HC4 Sept 2025WRIA/13181/2025

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What is this about?

Allahabad High Court (Saurabh Shyam Shamshery, J.), Writ-A No. 13181 of 2025, decided September 4, 2025 - Phool Chand & 3 others v. Union of India - Interest on delayed payment of leave encashment; petitioners retired 2014-17, encashment paid 2020-22; belated/fence-sitter claim; petition disposed with direction to the concerned respondent to consider the interest claim in light of Rajesh Kumar Patel v. Indian Telephone Industries, 2024:AHC:197559 and pass a reasoned order.

What did the court decide?

Writ petition disposed of with direction that if petitioners approach the concerned respondent on payment of interest, the respondent shall take note of the judgment referred above and pass a reasoned order. ¶19

Phool Chand and 3 Others vs Union of India and 2 Others — Allahabad HC (2025) — LawSathi Research

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HIGH COURT OF JUDICATURE AT ALLAHABAD

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WRIT - A No. - 13181 of 2025

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Phool Chand And 3 Others

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.....Petitioner(s)

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Versus

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Union Of India And 2 Others

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.....Respondent(s)

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Counsel for Petitioner(s) Counsel for Respondent(s)	: Ajay Srivastava : A.S.G.I., Dinesh Kumar Rai

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Court No. - 5

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HON'BLE SAURABH SHYAM SHAMSHERY, J.

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Heard Sri Ajay Srivastava, learned counsel for petitioners, Sri Sudarshan Singh, Advocate for Respondent-1 and Sri Dinesh Kumar Rai, learned counsel for Respondents-2 to 3.

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The petitioners are fence sitter. They have approached this Court after the law was crystalized so far as entitlement to the benefit of leave encashment and interest thereupon for delay in payment and undisputedly, petitioners (4 in number) have retired in between 2014-17.

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Learned counsel for petitioners refers some judgments passed by a Coordinate Bench of this Court that even at later stage, relief was granted so much as that matter was remitted to concerned respondent to decide in the light of judgments passed by the Supreme Court in Special Leave to Appeal (c) No.7939 of 2024 (I.T.I. Ltd. and another Vs. Ashok Kumar Shukla and another) as well as this Court in (Rama Kant Srivastava Vs. Indian Telephone Industries Limited and 2 others) Writ-A No. 31385 of 2016 in regard to payment of interest.

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Learned counsel for respondents submits that leave encashment have already been paid to petitioners way back in the year 2020 to 2022 and only issue left is of interest on delayed payment and for that they have approached this Court after five to three years.

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I have considered the above submission and perused the record. The petitioners were paid leave encashment on basis of judgment passed by this Court. It appears that issue of interest was not earlier raise and now it is raised on a ground that in some cases, interest was paid.

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WRIA No. 13181 of 2025

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The Court takes reference of Rajesh Kumar Patel Vs. Indian Telephone Industries and others, 2024:AHC:197559, wherein after considering the judgments passed by Supreme Court an order was passed to pay interest even at belated stage.

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In the aforesaid circumstances, this writ petition is disposed of with an observation/direction that in case, petitioners approach concerned respondent so far as issue of payment of interest is concerned, the concerned respondent will take note of judgment referred above and will pass a reasoned order.

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(Saurabh Shyam Shamshery,J.)

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September 4, 2025 AK

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Digitally signed by :- AWADESH KUMAR High Court of Judicature at Allahabad

Phool Chand and 3 Others v. Union of India and 2 Others

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Phool Chand and 3 Others v. Union of India and 2 Others

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