Allowed¶25

V.Murugesan v. The Managing Director

Madras HC2 Apr 2025WP(MD)/8918/2025

Case brief

AI extract

What is this about?

Interest on delayed/delayed-settlement retirement and terminal benefits; 6% per annum interest on belated gratuity, provident fund, leave salary and pension commutation; writ of mandamus; Article 226 Constitution of India; V.Murugesan v. Managing Director TNSTC (Mdu) Ltd. and Administrator TNSTC Pension Trust; retirement 31.05.2023; followed C.Murugan v. TNSTC (Tirunelveli) Ltd., W.P.(MD)No.4866 of 2023 (order dt. 07.03.2023); issue no longer res-integra; Madurai Bench of Madras High Court; Battu Devanand, J.; allowed 02.04.2025.

What did the court decide?

Writ petition allowed; respondents directed to pay interest at 6% per annum on the belated payment of retirement benefits from the date of retirement till actual disbursement, within three months from receipt of a copy of the order; no costs imposed. ¶25

V.Murugesan Vs The Managing Director — Writ and Judicial Review | Madras HC (2025)

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W.P.(MD)No.8918 of 2025

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BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT

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DATED : 02.04.2025

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CORAM

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THE HONOURABLE MR.JUSTICE BATTU DEVANAND

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W.P.(MD)No.8918 of 2025

V.Murugesan

... Petitioner

Vs.

1.The Managing Director, Tamil Nadu State Transport Corporation (Mdu) Limited, Bye Pass Road, Madurai - 625010. 2.The Administrator , Tamil Nadu State Transport Corporation Pension Trust, Thiruvalluvar Illam, Pallavan Salai, Chennai - 600002. ... 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 interest at the rate of 6% per annum to the petitioner for the belated payment of Gratuity, Provident fund, Leave Salary and Pension Commutation from the date of retirement to the date of actual payment within a time frame as may be fixed by this court.

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

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W.P.(MD)No.8918 of 2025

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For Petitioner : M/s.D.Ramya For R1 : Mr.Raja Standing Counsel For R2 : Mr.S.C.Herold Singh 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 interest at the rate of 6% per annum to the petitioner for the belated payment of Gratuity, Provident fund, Leave Salary and Pension Commutation from the date of retirement to the date of actual payment within a time frame fixed by this court.

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2. The petitioner was appointed as Driver in the respondent Transport Corporation on 02.08.1991 and he retired from service on 31.05.2023. 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.8918 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 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

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of 6% per annum on the belated payment of the retirement benefits

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commencing from the date of retirement, till the date of actual disbursement, within a period of three months from the date of

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receipt of a copy of this order.

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6. No costs.