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P.Devasigamani v. The Managing director

Madras HC5 Jun 2026WP/19062/2026

Case brief

AI extract

What is this about?

Madras High Court writ petition (mandamus under Article 226) by retired MTC Chennai SPG Driver P.Devasigamani seeking interest on delayed payment of EPF, Gratuity and Leave Surrender after superannuation on 31.08.2025, with terminal benefits settled only on 11.03.2026; respondent conceded 6% per annum; Court directed 6% per annum interest from date of retirement till actual disbursal, payable within six weeks; petition disposed of, no costs.

What did the court decide?

Payment of interest at 6% per annum for the belated payment of admissible terminal benefits from the date of retirement till the date of actual disbursal, to be paid within six weeks from the date of receipt of a copy of the order; writ petition disposed of with no costs. ¶24

P.Devasigamani Vs The Managing director — Writ and Judicial Review | Madras HC (2026)

What the court decided

AI extract

Outcome

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Issue for consideration

Whether the respondent-Corporation must sanction and disburse interest on the delayed payment of the petitioner's terminal benefits (EPF, Gratuity and Leave Surrender) for the period from 31.08.2025 to 11.03.2026, and if so, at what rate.

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Court's answer

The Court directed the respondent to pay interest at the rate of 6% per annum for the belated payment of admissible terminal benefits from the date of retirement till the date of actual disbursal of the terminal benefits to the petitioner, within a period of six weeks from the date of receipt of a copy of the order.

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Detailed headnote1 paragraphs

W.P.No.19062 of 2026 (High Court of Judicature at Madras, Ms. Justice P.T. Asha, decided 05.06.2026) — Delayed payment of terminal benefits / interest: A retired SPG Driver of the Metropolitan Transport Corporation (Chennai) Ltd., who superannuated on 31.08.2025 and whose EPF, Gratuity and Leave Surrender were settled only on 11.03.2026 without interest, filed a writ petition under Article 226 of the Constitution of India seeking a writ of mandamus for interest at 12% per annum on the delayed payment for the period 31.08.2025 to 11.03.2026; his representation dated 01.04.2026 had gone unconsidered. The learned Standing Counsel for the respondent conceded willingness to pay interest at 6% per annum on the belated payment of the eligible and admissible amount. Accepting this, the Court directed the respondent to pay interest at 6% per annum for the belated payment of admissible terminal benefits from the date of retirement till the date of actual disbursal, within six weeks of receipt of a copy of the order; the writ petition was disposed of, with no costs.

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WP No.19062 of 2026 IN THE HIGH COURT OF JUDICATURE AT MADRAS

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DATED : 05.06.2026

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CORAM

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THE HONOURABLE Ms. JUSTICE P.T. ASHA

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W.P.No.19062 of 2026

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P.Devasigamani S/o.Periyasamy

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... Petitioner

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Vs.

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The Managing Director Metropolitan Transport Corporation (Chennai) Ltd., Pallavan Illam, Anna Salai Chennai – 600 002. ... Respondent

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PRAYER: Writ Petition filed under Article 226 of the Constitution of India praying to issue a Writ of Mandamus directing the respondent to sanction and disburse interest at 12% per annum on the delayed payment of EPF, Gratuity and Leave Surrender for the period from 31.08.2025 to 11.03.2026 and pass orders.

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For Petitioner : Mr.K.Balaji For Respondent : Mr.R.Balalji Government Advocate

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

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ORDER

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WP No.19062 of 2026

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The writ petition has been filed to issue a writ of mandamus to the respondent to sanction and disburse interest at 12% per annum on the delayed payment of EPF, Gratuity and Leave Surrender for the period from 31.08.2025 to 11.03.2026

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The case of the petitioner is that he was employed as SPG Driver in the respondent-Transport Corporation and had retired from service on attaining the age of superannuation on 31.08.2025. However, the terminal benefits have been settled to the petitioner only on 11.03.2026 and no interest has been paid for the delayed period. Therefore, the petitioner had submitted a representation to the respondent dated 01.04.2026, to pay the interest at the rate of 12% for the delayed period from 31.08.2025 to 11.03.2025. Since the same was not considered, the present writ petition has been filed.

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The learned Standing Counsel for the respondent would fairly submit that the respondent-Corporation is 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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https://www.mhc.tn.gov.in/judis

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WP No.19062 of 2026 4. Heard the learned counsel for both sides and perused the materials available on record.

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In view of the submission of the learned Government Advocate,

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this Court deems it appropriate to direct the respondent to pay interest at the rate of 6% per annum for the belated payment of admissible terminal benefits from the date of retirement till the date of actual disbursal of the terminal benefits to the petitioner, within a period of six weeks from the date of receipt of a copy of this order.

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