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K.Sekaran, v. The Tamil Nadu State Transport Corporation(Madurai) Ltd.

Madras HC12 Jun 2026WP(MD)/15983/2026

Case brief

AI extract

What is this about?

Keywords: interest on delayed terminal benefits; 6% per annum interest; provident fund; gratuity; terminal leave salary; commuted value of pension; retirement benefits; writ of mandamus; Article 226; Tamil Nadu State Transport Corporation (Madurai) Ltd.; TNSTC Employees Pension Fund Trust; disposal at admission stage with consent; five-month compliance timeline; Division Bench precedents W.A.(MD).No.403 of 2010 (08.06.2014) and W.A.(MD).No.1419 of 2021 (26.07.2021); no costs.

What did the court decide?

Payment of interest at 6% per annum on the petitioner's delayed terminal benefits (Provident Fund, Gratuity, Terminal Leave Salary, Commuted value of pension and other retirement benefits) from the date of retirement till actual payment, with compliance directed within five months; no costs. ¶30

K.Sekaran, Vs The 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 respondents are liable to pay interest at 6% per annum on the delayed disbursement of the petitioner's terminal benefits (Provident Fund, Gratuity, Terminal Leave Salary and Commuted value of pension) from the date of his retirement till actual disbursement.

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Court's answer

The issue involved in the writ petition is squarely covered by the Division Bench judgments in W.A.(MD).No.403 of 2010 and batch (dated 08.06.2014) and W.A.(MD).No.1419 of 2021 and batch (dated 26.07.2021), on which agreed basis the Court disposed of the petition.

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Ratio / Principle

The respondents are directed to pay interest at the rate of 6% per annum for the belated payment of the petitioner's terminal benefits, including Provident fund, Gratuity, Terminal Leave Salary and Commuted value of pension and other retirement benefits, from the date of his retirement till the date on which those benefits are paid.

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Key takeaways

The respondents must comply with the said direction as expeditiously as possible, at any rate within a period of five months from the date of receipt of a copy of the order; no costs were awarded.ratio¶30

Detailed headnote1 paragraphs

Writ petition under Article 226 of the Constitution (W.P.(MD) No.15983 of 2026, Madurai Bench of Madras High Court) by K.Sekaran, a retiree, against the Tamil Nadu State Transport Corporation (Madurai) Ltd. and the Administrator of its Employees Pension Fund Trust, seeking a writ of mandamus for interest on delayed terminal benefits. With the consent of both sides, the petition was disposed of at the admission stage, both sides agreeing that the issue was squarely covered by Division Bench judgments in W.A.(MD).No.403 of 2010 and batch (dated 08.06.2014) and W.A.(MD).No.1419 of 2021 and batch (dated 26.07.2021). Mummineni Sudheer Kumar, J., allowed the petition and directed the respondents to pay interest at 6% per annum on the belated payment of the petitioner's Provident Fund, Gratuity, Terminal Leave Salary, Commuted value of pension and other retirement benefits, from the date of retirement till the date of payment, compliance to occur as expeditiously as possible and in any event within five months of receipt of the order; no costs.

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W.P.(MD) No.15983 of 2026

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BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT

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DATED : 12.06.2026

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CORAM:

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THE HONOURABLE MR.JUSTICE MUMMINENI SUDHEER KUMAR

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W.P.(MD) No.15983 of 2026

K.Sekaran

... Petitioner

-vs-

1.The Tamil Nadu State Transport Corporation (Madurai) Ltd.,

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Rep by its Managing Director, Madurai.

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2.The Administrator,

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The Tamil Nadu State Transport Corporation Employees Pension Fund Trust, Thiruvalluvar Illam, Pallavan Salai, Chennai- 600 002. ... Respondents

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PRAYER: Petition filed under Article 226 of the Constitution of India, to issue a writ of mandamus directing the respondents to settle interest at the rate of 6% per annum on the delayed disbursement of the petitioner's terminal benefits, including Provident fund, Gratuity, Terminal Leave Salary and Commuted value of pension for the petitioner from the date of his retirement

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

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W.P.(MD) No.15983 of 2026

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till the date of actual disbursement and consequently direct the respondent to

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settle the same to him within a time frame.

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For Petitioner : Mr.A.Rahul For Respondents : Mr.S.Raja for R1 : Mr.S.C.Herold Singh Standing counsel for R2

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O R D E R

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Mr.S.Raja, learned Counsel, takes notice for the respondent No.1 and Mr.S.C.Herold Singh learned Standing counsel takes notice for the respondent No.2.

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2. With the consent of both sides, this writ petition is disposed of at the admission stage.

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3. Heard the learned counsel for the petitioner and the learned Standing Counsels appearing for the respective respondents.

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4. Learned counsel on either side unanimously agree that the issue involved in this writ petition is squarely covered by various Judgments

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

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W.P.(MD) No.15983 of 2026

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passed by the Division Bench of this Court in W.A.(MD).No.403 of 2010 and batch, dated 08.06.2014 and W.A.(MD).No.1419 of 2021 and batch, dated 26.07.2021.

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5. In the said circumstances, this writ petition is allowed and the respondents are directed to pay interest at the rate of 6% per annum for the belated payment of the petitioner's terminal benefits, including Provident fund, Gratuity, Terminal Leave Salary and Commuted value of pension and other retirement benefits payable to the petitioner, from the date of his retirement till the date on which those benefits are paid to the petitioner. The respondents are further directed to comply with the said direction as expeditiously as possible, at any rate, within a period of five months from the date of receipt of a copy of this order. No costs.

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12.06.2026 3/8

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NCC : Yes / No Index : Yes / No Internet : Yes / No sbn

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W.P.(MD) No.15983 of 2026

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