N.Moorthy (Rtd. Sp. Gr. Driver) Vs The Managing Director

PRAYER: Writ Petition filed under Article 226 of the Constitution of India praying to issue a Writ of Mandamus directing the respondents to pay interest at the rate of 12% per annum on the belated payment of terminal benefits, viz., Provident Fund, Gratuity and Surrender Leave Salary amounting to Rs.35,08,851 for the period from 31.05.2024 to 02.12.2025 within a time frame to be fixed by this Court.

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For Petitioner : Mr.K.Balakrishnan For Respondents : Mr.A.Vinothraj Standing Counsel [R1 & R2]

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

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WP No.8266 of 2026

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ORDER

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The writ petition is filed seeking a mandamus to the respondents to pay interest at the rate of 12% per annum on the belated payment of terminal benefits, viz., Provident Fund, Gratuity and Surrender Leave Salary amounting to Rs.35,08,851 for the period from 31.05.2024 to 02.12.2025.

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The petitioner would submit that after serving as Special Grade Driver, he had retired from service on 31.05.2024 on attaining the age of superannuation. However, the terminal benefits have been settled to the petitioner only on 02.12.2025 and no interest has been paid for the delayed period. Therefore, the petitioner had submitted multiple representations to the respondents to pay the interest at the rate of 12% for the delayed period. Since the same was not considered, the present writ petition has been filed.

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The learned Standing Counsel for the respondents 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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Heard the learned counsel for both sides and perused the materials available on record.

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

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WP No.8266 of 2026

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In view of the above submission of the learned Standing

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Counsel, this Court deems it appropriate to direct the respondents 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 four weeks from the date of receipt of a copy of this order.

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