This writ petition sought a mandate for respondents to pay 18% interest on delayed retirement benefits including Provident Fund and Gratuity. The Court reduced the interest claim to 6% per annum from the date of retirement until actual payment.
Respondents directed to pay interest at 6% per annum from date of retirement to actual payment.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
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BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT
DATED : 27.04.2018
CORAM:
THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAM
W.P(MD)No.9756 of 2018
Thangammal
.. Petitioner
Vs.
1.The Managing Director, Tamil Nadu State Transport Corporation, Tirunelveli Limited, Tirunelveli.
2.The General Manager, Tamil Nadu State Transport Corporation, Tirunelveli Limited, Ranithottam, Nagercoil – 629 001, Kanyakumari District. .. Respondents
PRAYER : Writ Petition is filed under Article 226 of the Constitution of India praying for issuance of a Writ of Mandamus, directing the respondents to pay 18% interest for the belated payment of the petitioner's retirement benefits ie., Provident Fund, Gratuity, Leave Salary, from the date of the petitioner's retirement to the actual date of payment of retirement benefits to the petitioner within a stipulated time.
For Petitioner : Mr.N.S.Ramakrishna Dass For respondents : Mr.K.Sathiya Singh
ORDER
Heard Mr.N.S.Ramakrishna Dass, learned counsel for the petitioner and Mr.Sathiyasingh, learned standing counsel for the respondent.
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employee is entitled for payment along with interest. Therefore, when the respondents are admittedly not paid retirement benefits on the due date, they are bound to pay interest to the retired employee. However, I find that the claim of interest at the rate of 18% is on the higher side.
Sd/-
Assistant Registrar (Crl.Side)
/True Copy/
Sub Assistant Registrar
To
1.The Managing Director,
Tamil Nadu State Transport Corporation,
Tirunelveli Limited,
Tirunelveli.
2.The General Manager,
Tamil Nadu State Transport Corporation,
Tirunelveli Limited,
Ranithottam,
Nagercoil – 629 001, Kanyakumari District.
+1CC TO Mr.N.S.Ramakrishna Dass, Advocate, Sr No.64289 +1CC TO Mr.K.Sathiya Singh, Advocate, Sr No.64711
ORDER MADE IN W.P(MD)No.9756 of 2018 27.04.2018 1/3
gcg
MS/PN/SAR.3/15.05.2018/2P.5C
2 issues framed by the court
Whether respondent corporations are directed to pay interest for delayed payment of retirement benefits and if so at what rate.
Whether the petitioner is entitled to 18% interest or a lower rate for belated payment of Provident Fund and Gratuity.
3 provisions across 3 enactments
Thangammal
The Managing Director, Tamil Nadu State Transport Corporation, Tirunelveli Limited, Tirunelveli
The General Manager, Tamil Nadu State Transport Corporation, Tirunelveli Limited, Ranithottam, Nagercoil
T.S.SIVAGNANAM
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
