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S.Kumar v. the Managing Director

Madras HC24 Jun 2025WP/22536/2025

Case brief

AI extract

What is this about?

Belated payment of terminal benefits; interest on delayed Provident Fund, Earned Leave Salary and Gratuity; 6% per annum awarded against 8% sought; 656 days delay; retirement on 30.06.2023; Special Grade Driver; Tamil Nadu State Transport Corporation (Villupuram) Ltd.; writ of mandamus; Article 226; Madras High Court; W.P.No.22536 of 2025; C.Kumarappan, J.; decided 24.06.2025; similar orders W.P.Nos. 40031, 33742 and 35806 of 2024.

What did the court decide?

Interest at 6% per annum on the delayed payment of retirement benefits, from the date of retirement till the date of actual disbursal of terminal benefits, payable within six weeks of receipt of a copy of the order; writ petition disposed of with no costs. ¶34

S.Kumar Vs the Managing Director — Writ and Judicial Review | Madras HC (2025)

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W.P.No.22536 of 2025

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IN THE HIGH COURT OF JUDICATURE AT MADRAS

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DATED : 24.06.2025

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CORAM

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THE HONOURABLE MR.JUSTICE C.KUMARAPPAN

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W.P.No.22536 of 2025

S.Kumar

... Petitioner

Vs.

1.The Managing Director, Tamil Nadu State Transport Corporation (Villupuram) Ltd., 3/137, Salamedu, Villupuram-605 602.

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2.The General Manager Tamil Nadu State Transport Corporation (Villupuram) Ltd. Vellore Region, Rangapuram, Vellore-632009. ... Respondents

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Writ Petition filed under Article 226 of the Constitution of India praying to issue a Writ of Mandamus, directing the respondents to pay interest to the petitioner at the rate of 8% per annum for the belated payment of his Provident Fund, Earned Leave Salary and Gratuity Amount within a time limit to be stipulated by this Court.

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

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W.P.No.22536 of 2025

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For Petitioner : Mr.J.Lakshminarayanan For Respondents : M/s.S.Pavithra Standing Counsel

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O R D E R

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By consent of both the learned counsel for the parties, the Writ Petition

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is taken up for final disposal, at the admission stage itself.

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The instant writ petition has been filed with a prayer for issuing a Mandamus, directing the respondents to pay interest to the petitioner at the rate of 8% per annum for the belated payment of his Provident Fund, Earned Leave Salary and Gratuity Amount, within a time limit to be stipulated by this Court.

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Heard the learned counsel for both sides and perused the materials available on record.

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It is the case of the petitioner is that the petitioner has joined in the 1^st Respondent-Transport Corporation as Driver on 16.03.1990 and after rendering 32 years of unblemished service, he retired as Special Grade Driver

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

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W.P.No.22536 of 2025

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on 30.06.2023. The learned counsel for the petitioner would submit that though he retired from service during 2023, his terminal benefits were paid only from April-2025. The learned counsel for the petitioner would submit that there is a delay of 656 days in settling his retirement benefits. However, no interest was paid for the above period. In view of the same, the petitioner sent a representation dated 21.04.2025 to the respondents claiming interest on the delayed payment. Since the same was not considered by the respondents, the present Writ Petition has been filed.

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The learned Standing Counsel appearing for the respondents would

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fairly submit that in view of the similar orders passed by this Court in W.P.Nos. 40031, 33742 and 35806 of 2024, they are willing to pay the interest at the rate of 6% per annum for the belated payment of the eligible and admissible amount.

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In view of the above submission of the learned Standing Counsel, this Court deems it appropriate to direct the respondents to pay the interest at the rate of 6% per annum upon the delayed payment of retirement benefits, from the date of retirement till the date of actual disbursal of the terminal

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

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W.P.No.22536 of 2025

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benefits to the petitioner, within a period of six weeks from the date of receipt of copy of this order.

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