Disposed¶35

R.Sekaran v. the Managing Director

Madras HC3 Jan 2025WP/40023/2024

Case brief

AI extract

What is this about?

Interest on belated payment of retiral/terminal benefits; surrender leave salary; gratuity; provident fund; retired TNSTC (Villupuram) employee; representation dated 12.11.2024; Article 226 mandamus; Court-fixed twelve-week timeline; 6% per annum interest from due date; 12% per annum interest on non-payment within time frame; Tamil Nadu State Transport Corporation Villupuram/Vellore Region; Madras High Court writ disposed at admission stage; no costs.

What did the court decide?

Writ petition disposed of with directions to the respondents to consider the petitioner's representation, pass appropriate orders and pay the eligible amount within twelve weeks of receipt of the Order, carrying 6% per annum interest from the due date till disbursement (escalating to 12% per annum if not paid within the stipulated time frame); no order as to costs.

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

What the court decided

AI extract

Outcome

¶35

Issue for consideration

Whether the respondents must pay the petitioner interest at 8% per annum for the belated payment of his surrender leave salary and gratuity, and at 8.5% per annum for the belated payment of his provident fund amount, within a time limit to be stipulated by the Court.

¶19

Court's answer

The Court directed the respondents to consider the petitioner's representation, pass appropriate orders, and pay the eligible amount within a period of twelve weeks from the date of receipt of a copy of the Order.

¶30

Ratio / Principle

The eligible amount shall carry interest at 6% per annum from the date on which it became due and payable till the date of disbursement.

¶30

Key takeaways

If the amount is not paid within the time frame fixed by the Court, it shall carry interest at 12% per annum from the date it became due and payable till the date of disbursement.ratio¶34

Detailed headnote1 paragraphs

Madras High Court (V. Bhavani Subbaroyan, J.) — W.P.No.40023 of 2024, decided 03.01.2025: A retired employee of Tamil Nadu State Transport Corporation (Villupuram) Ltd. sought a writ of mandamus under Article 226 directing payment of interest at 8% per annum for belated surrender leave salary and gratuity and 8.5% per annum for belated provident fund amount; his representation dated 12.11.2024 went unanswered. Taken up for final disposal at admission by consent, the Court directed the respondents to consider the representation and pay the eligible amount within twelve weeks of receipt of the Order, with 6% per annum interest from the date the amount became due till disbursement, rising to 12% per annum from the due date till disbursement if payment exceeded the Court-fixed time frame. Petition disposed of; no order as to costs.

¶1

W.P.No.40023 of 2024

¶2

IN THE HIGH COURT OF JUDICATURE AT MADRAS

¶3

DATED: 03.01.2025

¶4

CORAM:

¶5

THE HONOURABLE MRS. JUSTICE V.BHAVANI SUBBAROYAN

¶6

W.P.No.40023 of 2024

R.Sekaran

...Petitioner

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

¶11

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

¶12

...Respondents

¶13

PRAYER: Writ Petition filed under Article 226 of the Constitution of India 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 surrender leave salary, gratuity and at the rate of 8.5% per annum for the belated payment of his provident fund amount within a time limit to be stipulated by this Court.

¶14

1/5 https://www.mhc.tn.gov.in/judis

¶15

W.P.No.40023 of 2024

¶16

For Petitioner : Mr.J.Lakshmi Narayanan For Respondents : Mr.R.Venkatesa Perumal Standing Counsel (for R1 & R2)

¶17

ORDER

¶18

By consent of both parties, this writ petition is taken up for final disposal at the stage of admission itself.

¶19

The petitioner has filed this writ petition 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 surrender leave salary, gratuity and at the rate of 8.5% per annum for the belated payment of his provident fund amount within a time limit to be stipulated by this Court.

¶20

The case of the petitioner is that he is an retired employee from

¶21

the Respondent/Corporation. The grievance of the petitioner is that the respondents to pay the interest at the rate of 8% per annum for the belated payment of the petitioner's terminal benefits and belated payment

¶22

of his surrender leave salary, gratuity. Therefore, the petitioner gave a

¶23

2/5

¶24

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

¶25

W.P.No.40023 of 2024

¶26

representation to the respondents on 12.11.2024 with regard to the said issue. However, no action has been taken by the respondents till date. Hence this petition.

¶27

4.The learned counsel for the petitioner submitted that it would be suffice if this Court issues a direction to the respondents to consider the petitioner's representation and pass orders.

¶28

The learned standing counsel appearing for the first and second respondents submitted that the representation of the petitioner will be considered and will pay the eligible amount with 6% interest P.A as per the earlier orders of this Court.

¶29

Considering the facts of the case, this Court on submission

¶30

made by either side counsel directs the respondents to consider the representation of the petitioner and pass appropriate orders and pay the eligible amount to the petitioner within a period of twelve weeks from the date of receipt of a copy of this Order. It is made clear that the amount should carry 6% interest per annum from the date on which the

¶31

3/5

¶32

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

¶33

W.P.No.40023 of 2024

¶34

amount became due and payable till the date of disbursement, if the amount is not paid within the time frame fixed by this Court, the same will carry interest at the rate of 12% per annum from the date on which the amount became due and payable till the date of disbursement.

¶35