Allowed

S.Rajendran, v. the Managing Director

Madras HC28 Mar 2024WP/8103/2024

Case brief

AI extract

What is this about?

The petitioner sought a writ of mandamus directing the Tamil Nadu State Transport Corporation to pay interest on belated retirement benefits. The Court, relying on a prior order on identical issues, directed the respondents to pay penal interest at 6% per annum from the retirement date of actual disbursement, to be paid within eight weeks. The petition was disposed of.

What did the court decide?

Direction to pay interest at 6% per annum from retirement to disbursement within eight weeks.

S.Rajendran, Vs the Managing Director — Pension and Retirement Benefits | Madras HC (2024)

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W.P.No.8103 of 2024

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IN THE HIGH COURT OF JUDICATURE AT MADRAS

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DATED : 28.03.2024

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CORAM:

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THE HONOURABLE MR. JUSTICE G.K.ILANTHIRAIYAN

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W.P.No.8103 of 2024

S.Rajendran

...Petitioner

-Vs-

1.The Managing Director Tamil Nadu State Transport Corporation (Coimbatore) Ltd.,

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37, Mettupalayam Road Coimbatore-641 043.

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2.The General Manager Tamil Nadu State Transport Corporation (Coimbatore) Ltd., Chennimalai Road Erode-1.

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The Administrator Tamil Nadu State Transport Corporation EPF Trust, Pallavan House Thiruvalluvar Salai

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Chennai-600 002.

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... Respondents

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Prayer : Writ Petition filed under Article 226 of Constitution of India praying for the issuance of a Writ of Mandamus directing the respondents to pay interest for the belated payment of Provident Fund,

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Page 1 of 5

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

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W.P.No.8103 of 2024

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Death cum Retirement Gatuity, Encashment of Earned Leave, Surrender Leave and Commuted Value of Pension at the rate of 12% per annum and to pay the Retirement Benefits Scheme Recovery Amount along with interest at the rate of 12% per annum within the time frame fixed by this Court.

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For Petitioner : Mr.N.K.Ponraj

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For Respondents : Mr.A.Murali Vinoth for R1 & R2 Standing Counsel

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ORDER

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This Writ Petition has been filed for a direction d irecting the

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respondent to pay appropriate interest to the petitioner for the delayed

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sanction and disbursement of retirement benefits.

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Heard the learned counsel appearing on either side and

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perused the materials available on record.

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In identical issues, this Court has passed various orders,

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justifying the payment of interest to the aggrieved pensioners and in the order dated 13.12.2019 in W.P.(MD) No.26481 of 2019, the following order came to be passed :-

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“5. I am not in agreement with the said representation made. There was already a duty

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Page 2 of 5

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

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W.P.No.8103 of 2024

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cast on the respondent Corporation to pay the terminal benefits on the date of retirement itself and the very fact that the belated disbursement of retirement benefit, had already put the retired employee to serious prejudice, entertaining the present request for disbursement of the interest on the belated payment in installments, could cause further prejudice to the retired employee.

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6. In the light of the above observations, there shall be a direction to the respondent / Corporation to pay the penal interest at the rate of 6% per annum on the belated payment of the retirement benefits for the period from the date of the retirement, till the date of the actual disbursement, as expeditiously as possible and in any event, not before the expiry of three months from the date of receipt of a copy of this order.

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4. This Court is of the view that the respondents could be

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directed to pay the interest on the belated payment, at the rate of 6% per

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annum, as ordered in the above writ petition.

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5. In the light of the above findings, there shall be a direction to the respondents herein to pay the interest on the belated payment of the terminal benefits to the petitioner at the rate of 6% per annum, commencing from the date of the retirement, till the date of actual disbursement, within a period of eight weeks from the date of receipt of a copy of this order.

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

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Page 3 of 5

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W.P.No.8103 of 2024

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6. With the above direction, this Writ Petition is disposed

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of. No costs.

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28.03.2024 (2/2)

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Internet: Yes Index : Yes/No Speaking/Non Speaking order Neutral Citation : Yes/No Lpp

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1.The Managing Director Tamil Nadu State Transport Corporation (Coimbatore) Ltd., 37, Mettupalayam Road Coimbatore-641 043.

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2.The General Manager Tamil Nadu State Transport Corporation (Coimbatore) Ltd., Chennimalai Road Erode-1.

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The Administrator Tamil Nadu State Transport Corporation EPF Trust, Pallavan House Thiruvalluvar Salai Chennai-600 002.

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

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Page 4 of 5

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W.P.No.8103 of 2024

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G.K.ILANTHIRAIYAN. J,

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Lpp

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W.P.No.8103 of 2024

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28.03.2024 (2/2)

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

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Page 5 of 5

S.Rajendran, v. the Managing Director

Case brief

What is this about?

What did the court decide?

S.Rajendran, v. the Managing Director

Case brief

What is this about?

What did the court decide?

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