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P.Natarajan v. The Management of

Madras HC18 Jun 2026WP(MD)/16550/2026

Case brief

AI extract

What is this about?

Madurai Bench Madras High Court; writ of mandamus Article 226; delayed payment of terminal benefits; interest 6% per annum awarded against 18% sought; EPF employee's contribution, gratuity, encashment of leaves; Tamilnadu State Transport Corporation (Kumbakonam) Ltd., Trichy Region; retirement till payment of benefits; issue squarely covered by Division Bench W.A.(MD) No.403 of 2010 batch (18.06.2014) and W.A.(MD) No.1419 of 2021 batch (26.07.2021); disposed at admission stage with consent; compliance within five months; no costs; NCC/Index/Internet noted.

What did the court decide?

Interest at 6% per annum on terminal benefits (EPF employee's contribution, gratuity and encashment of leaves) from the date of retirement till payment, compliance within five months; no costs. ¶23

P.Natarajan Vs The Management of — Writ and Judicial Review | Madras HC (2026)

What the court decided

AI extract

Outcome

Interest at 6% per annum on terminal benefits (EPF employee's contribution, gratuity and encashment of leaves) from the date of retirement till payment, compliance within five months; no costs.

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Issue for consideration

Whether the respondent Transport Corporation is liable to pay the petitioner interest on the belated payment of his terminal benefits (EPF employee's contribution, gratuity and encashment of leaves) for the delay from 01.06.2025 to 10.03.2026, and if so, at what rate.

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Court's answer

The writ petition being squarely covered by the Division Bench decisions in W.A.(MD) No.403 of 2010 and batch and W.A.(MD) No.1419 of 2021 and batch, the respondent is directed to pay interest at 6% per annum on the petitioner's belatedly paid terminal benefits (EPF employee's contribution, gratuity and encashment of leaves) from the date of retirement till the date those benefits are paid.

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Ratio / Principle

The respondent is further directed to comply with the interest-payment 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.

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Detailed headnote1 paragraphs

Single-judge order of the Madurai Bench of the Madras High Court (W.P.(MD) No.16550 of 2026, MUMMINENI SUDHEER KUMAR, J., 18.06.2026): P.Natarajan, a retired employee, filed a writ of mandamus under Article 226 seeking interest at 18% per annum on terminal benefits (EPF employee's contribution, gratuity and encashment of leaves) belatedly paid by the Tamilnadu State Transport Corporation (Kumbakonam) Ltd., Trichy Region for the delay from 01.06.2025 to 10.03.2026. With the consent of both sides the petition was disposed of at the admission stage; learned counsel on either side agreed that the issue was squarely covered by the Division Bench judgments in W.A.(MD) No.403 of 2010 and batch (dated 18.06.2014) and W.A.(MD) No.1419 of 2021 and batch (dated 26.07.2021). Although 18% was sought, the court allowed the petition and directed interest at 6% per annum from the date of retirement till the date of payment, compliance within five months; no costs.

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W.P.(MD) No.16550 of 2026

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BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT DATED : 18.06.2026

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CORAM:

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THE HONOURABLE MR.JUSTICE MUMMINENI SUDHEER KUMAR

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W.P.(MD) No.16550 of 2026

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P.Natarajan ... Petitioner

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-vs-

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The Management of Tamilnadu State Transport Corporation (Kumbakonam) Ltd., Trichy Region rep.by its General Manager Trichy ... Respondent

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PRAYER: Petition filed under Article 226 of the Constitution of India, to issue a writ of mandamus directing the respondent to pay the petitioner interest at the rate of 18% per annum for the period of delay from 01.06.2025 to 10.03.2026 in paying the amounts paid towards his terminal benefits, namely, EPF employee's contribution, gratuity and encashment of leaves within a time frame as may be fixed by this Court and without affecting his rights to claim balance amounts towards those benefits.

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_____________ Page 1 of 4_

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

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W.P.(MD) No.16550 of 2026

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For Petitioner : Mr.S.Arunachalam For Respondent : Mr.P.F.Ferlin Castro Standing Counsel

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O R D E R

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Mr.P.F.Ferlin Castro, learned Standing Counsel, takes notice for

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the respondent – Transport Corporation.

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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 Counsel appearing for the respondent – Transport Corporation.

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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 passed by the Division Bench of this Court in W.A.(MD) No.403 of 2010 and batch, dated 18.06.2014 and W.A.(MD) No.1419 of 2021 and batch, dated 26.07.2021.

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Page 2 of 4

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

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W.P.(MD) No.16550 of 2026

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5. In the said circumstances, this writ petition is allowed and the respondent is directed to pay interest at the rate of 6% per annum for the belated payment of the petitioner's terminal benefits, namely, EPF employee's contribution, gratuity and encashment of leaves, from the date of his retirement till the date on which those benefits are paid to the petitioner. The respondent is 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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18.06.2026 (1/9)

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

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krk

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Page 3 of 4

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

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W.P.(MD) No.16550 of 2026