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John Bosco (B1924), v. Tamil Nadu State Transport Corporation (Coimbatore) Ltd.

Madras HC26 Feb 2026WP/6017/2026

Case brief

AI extract

What is this about?

Interest on belated payment of terminal benefits; PF, gratuity, surrender leave salary, earned leave salary; retired employees vs Tamil Nadu State Transport Corporation (Coimbatore) Ltd; 6% interest awarded from date of retirement till actual disbursal though 12% sought; bank rate of interest on deposits; writ of mandamus; Article 226 Constitution of India; disposed at admission stage; no costs.

What did the court decide?

Respondent directed to pay interest @ 6% on the belated payment of terminal benefits from the date of retirement till the date of actual disbursal, within six weeks from receipt of a copy of the order, taking into account the bank rate of interest on deposits; no order as to costs. ¶29

John Bosco (B1924), Vs Tamil Nadu State Transport… — Writ and Judicial Review | Madras HC (2026)

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WP No. 6017 of 2026

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IN THE HIGH COURT OF JUDICATURE AT MADRAS

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DATED: 26-02-2026

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CORAM

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THE HON'BLE MR JUSTICE M.DHANDAPANI

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WP No. 6017 of 2026

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John Bosco 2. M.Sivayan 3. Rajendran

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Kumaran

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Subramanian 6. Selvaraj

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7. Nagendran Vs

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..Petitioner(s)

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Tamil Nadu State Transport Corporation (Coimbatore) Ltd, Rep by its The Managing Director, No.37,Mettupalayam Road, Coimbatore-43

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..Respondent(s)

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Prayer: Writ Petition filed under Article 226 of the Constitution of India, seeking issuance of writ of mandamus, directing the respondents to pay the petitioner interest for the belated payment of the petitioner terminal benefits,namely the PF,Gratuity,Surrender leave salary and the earned leave salary,at the rate of 12% per annum within a specified time frame.

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

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WP No. 6017 of 2026

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For Petitioner(s): Mr.G.Vijay Priyan For Respondent(s): Mr.C.Gauthamaraj

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ORDER

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This Writ Petition has been filed to direct the respondents to pay the petitioner interest for the belated payment of the petitioner terminal benefits,namely the PF,Gratuity,Surrender leave salary and the earned leave salary,at the rate of 12% per annum to the petitoiners.

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With the consent of the learned counsel appearing on either side, this Writ Petition is taken up for disposal at the admission stage.

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It is the case of the petitioners that the petitioners, who had joined the services of the respondent Corporation, had retired from service in the year 2018-2023, however, the terminal benefits have been settled only on 16.04.2025, 12.02.2025, 10.03.2025 & 21.09.2019 respectively. Therefore, the petitioners claimed 12% interest on the belated payment of terminal benefits and they have also made representations on 11.07.2025, 02.07.2025, 22.05.2025, 16.06.2025, 02.07.2025, 15.07.2025 & 16.06.2025, to pay interest for the belated payment of terminal benefits which has not been evoked any response so far. Hence, the petitioners are before this Court.

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

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WP No. 6017 of 2026

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Heard the learned counsels appearing on either side and perused the

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materials available on record.

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In view of the limited request made by the petitioners with regard to interest on the belated payment of terminal benefits, this Court directs the respondent to pay interest @ 6% for the belated payment of terminal benefits from the date of retirement till the date of actual disbursal of terminal benefits of the petitioners, within a period of six weeks from the date of receipt of a copy of this order taking into account the bank rate of interest on deposits.

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