S.Mani (Dr 3111), v. Tamil Nadu State Transport Corporation (Salem) Ltd.

Madras HC24 Jun 2026WP/23380/2026

Case brief

AI extract

What is this about?

Interest on belated payment of terminal/retiral benefits; writ of mandamus under Article 226; service gratuity; provident fund; earned leave salary; commuted value of pension; delay in settlement of pension dues; 6% interest; Tamil Nadu State Transport Corporation (Salem) Ltd.; TNSTC Employees’ Pension Fund Trust; retired transport corporation employees; Salem, Dharmapuri, Krishnagiri, Vellore retirees; representations unanswered; one-month compliance direction.

What did the court decide?

Writ petition allowed as prayed for: mandamus directing the respondents to disburse 6% interest on the belatedly paid service gratuity, provident fund, leave salary and commutation of pension within one month from receipt of a copy of the order; no costs; connected WMP.No.25340 of 2026 ordered. ¶¶40

S.Mani (Dr 3111), Vs Tamil Nadu State Transport… — Writ and Judicial Review | Madras HC (2026)

What the court decided

AI extract

Outcome

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Issue for consideration

Whether the petitioners, whose terminal benefits (service gratuity, provident fund, earned leave salary and commuted value of pension) were paid belatedly, are entitled to interest on the delayed payment, and whether a mandamus should issue directing such payment within a fixed time.

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Court's answer

The service gratuity, provident fund, leave salary and commutation of pension were paid belatedly for no fault of the petitioners; therefore the petitioners are entitled to interest on the same.

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Ratio / Principle

A writ of mandamus is issued directing the respondents to disburse 6% interest for the belated payment of service gratuity, provident fund, leave salary and commutation of pension within one month from receipt of a copy of the order.

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Detailed headnote1 paragraphs

High Court of Judicature at Madras (P.T. Asha, J.; order dated 24-06-2026) allowed WP No. 23380 of 2026 filed under Article 226 by nine retired employees/pensioners against Tamil Nadu State Transport Corporation (Salem) Ltd. and the Tamil Nadu State Transport Corporations Employees’ Pension Fund Trust. The petitioners, appointed between 1987 and 1997 and retired between 30.06.2024 and 30.09.2025, had their terminal benefits — service gratuity, provident fund, leave salary and commutation of pension — settled belatedly on 11.03.2026 after delays of 163 to 527 days, for no fault of their own. Their representations for 6% p.a. interest went unanswered. Holding the petitioners entitled to interest, the Court issued a writ of mandamus directing disbursement of 6% interest within one month of receipt of the order; no costs awarded; connected WMP.No.25340 of 2026 ordered.

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WP No. 23380 of 2026

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IN THE HIGH COURT OF JUDICATURE AT MADRAS

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DATED: 24-06-2026

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CORAM

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THE HON'BLE MS. JUSTICE P.T. ASHA

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WP No. 23380 of 2026 & WMP.No.25340 of 2026

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S.Mani (DR 3111), S/o.Subbaiyan, 1214, Sathya Nagar, Kaatukottai Post, Muyalkaadu, Athur Taluk, Salem - 636 121.

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G.Karunanidhi (FC 5390), S/o. Gopal, 11/113, Pudhu Street, Senoor Post, Katpadi Taluk, Vellore District - 632 006.

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P.Manivannan (DR 3327), S/o. Periathambi, 300 A, Srinivasanagar, Vinayagapuram, Narasingapuram Post, Athur Taluk, Salem District - 636 102.

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O.Madhuraj (DR 6120), S/o. Onkgali, 18-B, Vinobaji Street, B.Mallapuram, Bommidi Post, Paapireddypatti Taluk, Dharmapuri District - 635 301.

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M.Samarasam (DR 6414), S/o. Madappan, 1/85, Veeramalai Post, Pochampalli Taluk, Krishnagiri District - 635 204.

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C.Saleem Basha (TR 1486) S/o.Chaugan Saiyabu, Plot No.4/1C, Subiksha Garden, Matham Agraharam, Hosur Taluk, Krishnagiri District - 635 126.

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

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WP No. 23380 of 2026

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V.Vellalarajan (MCR 528), S/o.Venkattan, 3/171, Kaattinayanapalli Post, Krishnagiri Taluk and District - 635 001.

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V.Sathyanarayanan (TR 5231), S/o.Venugopal, 3/262 A, Kanniyappan Street, Savullupatti, Dharmapuri District - 636 705.

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V.Karupayee (MRR 035), W/o.Vaiyapuri, 1/284, Ambedkar Nagar, Koodamalai Post, Kengavalli Taluk, Salem District - 636 105.

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..Petitioner(s)

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Tamil Nadu State Transport Corporation (Salem) Ltd., Rep by its The Managing Director, No.12, Ramakrishna Road, Salem – 7.

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Tamil Nadu State Transport Corporations Employees’ Pension Fund Trust Rep by its Administrator, ThiruvalluvarIllam, PallavanSalai, Chennai - 600 002.

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..Respondent(s)

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Prayer: The Writ Petition is filed under Article 226 of the Constitution of India, seeking for a Writ of Mandamus, directing the respondents to pay the petitioners interest for the belated payment of PF, gratuity, earned leave salary and commuted value of pension at the rate of 12 % per annum within a specified time, as may be fixed by this Court, Award costs.

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

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WP No. 23380 of 2026

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For Petitioner(s): Mr.Krishnaswamy R. For Respondent(s): Mr.K.Raja, Standing Counsel for R1

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ORDER

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The writ petition is filed for the below relief:

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"directing the respondents to pay the petitioners interest for the belated payment of PF, gratuity, earned leave salary and commuted value of pension at the rate of 12 % per annum within a specified time, as may be fixed by this Court, Award costs.".

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The brief facts which has culminated in the filing of this writ petition are set out below:

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2.1. It is the case of the petitioners that the petitioners were appointed on

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05.10.1994, 08.08.1997, 12.12.1996, 21.03.1996, 22.10.1997, 05.11.1987, 21.09.1987, 26.11.1992 and 01.07.1993 respectively and retired from service on 30.09.2025, 30.11.2024, 30.06.2025, 30.09.2024, 30.06.2024, 30.04.2025, 30.04.2025, 30.04.2025 and 30.04.2025 respectively. The respondents settled their terminal benefits belatedly on 11.03.2026 after a delay of 163 days, 466 days, 256 days, 527 days, 520 days, 315 days, 315 days, 315 days and 316 days respectively. Therefore, the respondents are legally bound to pay interest to the petitioners. Therefore, the petitioners made individual representations to the respondents to pay the interest at the rate of 6% p.a., for the belated payment of

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

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WP No. 23380 of 2026

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the petitioners’ service Gratuity, Provident Fund, Leave Salary and Commutation of pension. Since there is no response, the petitioners are before this Court.

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Heard the learned Counsel on either side and perused the materials available on records.

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Admittedly, the service Gratuity, Provident Fund, Leave Salary and Commutation of pension has been paid belatedly for no fault of the petitioners. Therefore, the petitioners are entitled to interest on the same. Therefore, the Writ petition is allowed as prayed for and a mandamus is issued directing the respondents to disburse the 6% interest for belated payment of service Gratuity, Provident Fund, Leave Salary and Commutation of pension within a period of one (1) month from the date of receipt of a copy of this order. No costs. The connected WMP.No.25340 of 2026 is ordered.

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24-06-2026

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Index: Yes/No Speaking/Non-speaking order Neutral Citation: Yes/No

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TSG

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

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WP No. 23380 of 2026