Allowed

P.Dharmalingam v. The Tamil Nadu State Transport Corporation (Kumbakonam) Limited

Madras HC20 Mar 2025WP(MD)/7698/2025

Case brief

AI extract

What is this about?

Retired conductor sought interest for delayed payment of retirement benefits including provident fund and earned leave encashment. Following an earlier order in a similar case, the Court directed payment of 6% per annum interest from date of retirement till actual disbursement, within three months.

What did the court decide?

Interest at 6% per annum on belated retirement benefits from date of retirement till actual disbursement, payable within three months.

P.Dharmalingam Vs The Tamil Nadu State… — Pension and Retirement Benefits | Madras HC (2025)

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W.P.(MD)No.7698 of 2025

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BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT

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DATED : 20.03.2025

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CORAM

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THE HONOURABLE MR.JUSTICE BATTU DEVANAND

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W.P.(MD)No.7698 of 2025

P.Dharmalingam

... Petitioner

Vs.

1.The Tamil Nadu State Transport Corporation (Kumbakonam) Limited, Represented by its Managing Director, Kumbakonam.

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2.The General Manager, The Tamil Nadu State Transport Corporation (Kumbakonam) Limited, Trichy Region, Trichy 620 001.

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3.The General Manager, The Tamil Nadu State Transport Corporation (Kumbakonam) Limited, Karur Region, Karur 639 002.

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4.The Chief Financial Officer, The Tamil Nadu State Transport Corporation (Kumbakonam) Limited, Kumbakonam - 612 001.

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... Respondents

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PRAYER: Writ Petition filed under Article 226 of the Constitution of India for issuance of Writ of Mandamus, directing the respondents to pay the interest at

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

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W.P.(MD)No.7698 of 2025

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the rate of 18% per annum for the belated payment of retirement benefits including Provident Fund and Earned Leave Encashment amount within the time limit that may be fixed by this Court.

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For Petitioner : Mr.D.Siva Raman

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For Respondents : Mr.K.Ramaiah Standing Counsel

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O R D E R

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This Writ Petition has been filed seeking a writ of mandamus directing the respondents to pay the interest for the belated payment of retirement benefits including Provident Fund and Earned Leave Encashment amount within a time frame fixed by this Court.

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2. The petitioner was appointed as Conductor in the respondent Corporation on 27.04.2001 and he retired from service on 30.04.2023. The learned counsel for the petitioner submits that the petitioner's terminal benefits was not settled immediately and there is an abnormal delay.

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3. In view of the same, the only issue to be considered in this Writ Petition is with regard to interest payable on the belated settlement. This issue was dealt with by this Court on various occasions and this Court passed orders

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

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W.P.(MD)No.7698 of 2025

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in several Writ Petitions. In fact, the issue involved in this writ petition is no longer res-integra.

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4. This Court in W.P(MD)No.4866 of 2023 (C.MuruganVs. the Tamil

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Nadu State Transport Corporation (Tirunelveli) Ltd., and Another) by order dated 07.03.2023 has decided this issue.

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5. Accordingly, by following the order stated supra, this Writ Petition is allowed with the following direction:

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The respondents shall pay interest to the petitioner at the rate of 6% per annum on the belated payment of the retirement benefits commencing from the date of the retirement, till the date of actual disbursement, within a period of three months from the date of receipt of a copy of this order.

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6. No costs.

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20.03.2025

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NCC:yes/no Index:yes/no Internet:yes/no Sn

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W.P.(MD)No.7698 of 2025