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2025 Supreme(Raj) 2586

HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH AT JAIPUR
ASHOK KUMAR JAIN, J.
Ramesh Singh S/o Shri Prahlad Singh Ji – Appellant
Versus
State of Rajasthan – Respondent
S.B. Civil Writ Petition Nos. 7203, 11942 of 2023, S.B. Civil Writ Petition Nos. 8944, 17379 of 2022, S.B. Civil Writ Petition No. 6099 of 2020, S.B. Civil Writ Petition No. 4159 of 2025
Decided On : 30-10-2025

Advocates Appeared:
For the Appellant : Jitendra Kumar Sharma, G.L. Gour, Prem Shanker Sharma
For the Respondent: Shashi Bala Sharma, Amit Kuri, Dharma Ram, Nandini Mirdha, Pranav Bhansali

Court affirmed the entitlement to 9% interest on delayed retiral dues, encompassing gratuity and leave encashment, underscoring principles of complete justice.

Headnote:(A) Rajasthan Pension Rules, 1996 - Payment of interest on delayed payment of retiral dues - Petitioners entitled to payment of interest @ 9% per annum on delayed payment of gratuity and leave encashment - Court references previous judgments affirming this entitlement. (Paras 5, 9-12)

(B) Retiral Dues - Definition - Includes Pension, Gratuity, Leave Encashment, and other benefits - Petitioners cited relevant case law to establish this definition. (Paras 7, 8)

Facts of the case:
Petitioners filed for interest on delayed payment of retiral dues following their superannuation. The court examined prior relevant orders and statutory provisions regarding the entitlements and interest due.

Findings of Court:
Court affirmed the entitlement to interest on delayed payment of retiral dues at 9% per annum and directed payment accordingly.

Issues: The main issue was whether statutory provisions for interest apply to leave encashment alongside gratuity, and what constitutes retiral dues.

Ratio Decidendi: The court held that interest could be awarded even in the absence of explicit statutory language, based on principles of justice, referring to precedent case law.

Result: Writ petitions disposed of; respondents directed to pay interest at the rate of 9% per annum on delayed retiral dues.

Table of Content
1. petitioners claim interest on delayed retiral dues. (Para 1 , 2)
2. details of petitioners' superannuation. (Para 3 , 4)
3. arguments supporting entitlement to interest. (Para 5 , 6)
4. clarification of what constitutes retiral dues. (Para 7 , 8 , 9 , 10)
5. judgment affirms 9% interest on delayed benefits. (Para 11)
6. final order directing payment of interest. (Para 12 , 13)

ORDER :

1. These writ petitions are filed against common respondents but with the prayer that the petitioners are entitled for payment of interest on delayed payment of retiral dues. Since, these writ petitions raises common question, therefore, we are deciding these writ petitions with common order.

2. For ready reference, we are reproducing prayer of lead matter from Writ Petition No.11942/2023 and same is reproduced as under:-

(i) The respondents may be directed to submits the complete record relating to the present case before this Hon’ble Court;

(ii) By issuing appropriate writ, order or direction the respondents may be directed to pay the Compound Interest on delayed payment of Gratuity @ of 10% on Rs.11,06,818 for the period of 30.06.2021 to 17.03.2023.

(iii) by issuing appropriate writ, order or direction the respondents may be directed to pay the Compound Interest on and for delayed payment of Encashment of Earned Leave of 300 days @ of 10% on Rs.6,74,780/- for the period of 30.06.2021 to 02.05.2023.

3. The material on record indicate that petitioner Ramesh Singh has superannuated on 30.06.2021, Prahald Singh Rathore on 31.03.2020, Himmat Singh on 30.06.2019, Omveer Singh on 31.07.2019, Rajkumar Sharma on 31.05.2020.

4. Writ Petition No.4159/2025 is filed by Ram Kishore Pareek, Satyanaryan Sharma, Hukum Chand Verma, Pramod Kumar Sharma, Shankar Lal Gupta, Ram Swaroop Verma and Kailash Babu Sharma jointly, and as per details in the writ petition Ram Kishore Pareek superannuated on 30.06.2018, Satyanarayan Sharma on 31.07.2018, Hukum Chand Verma on 31.07.2017, Pramod Kumar Sharma on 31.03.2018, Shankar Lal Gupta on 30.06.2016, Ram Swaroop Verma on 30.06.2018 and Kailash Babu Sharma on 31.08.2019.

5. Learned counsel for petitioners while relying upon order dated 06.07.2022 in S.B. Civil Writ Petition No. 16191/2019, Praveen Kumar Singh Vs. Managing Director, RTDC & Anr. and connected matters submitted that respondents were directed to pay interest @ 9% per annum on delayed payment of retiral dues from the date, the same became due till actual payment. He also submitted that this order was upheld by Hon’ble Division Bench of this Court on 18.12.2023, therefore, these writ petitions be decided in accordance with aforementioned judgements.

6. Learned counsel for respondents admits the disposal of writ petitions and Special Appeal Writ as referred by learned counsel for petitioners. Learned counsel for respondents submit that the matter may be disposed of on the basis of order passed by a Coordinate Bench of this Court and approved by Hon’ble Division Bench.

7. This Court has considered an issue related to what constitutes retiral dues in S.B. Civil Writ Petition No. 8496/2025 titled as Dr. Rajendra Prasad Vs. State of Rajasthan & Ors. and connected matters following paragraphs are reproduced from the judgment in case of Dr. Rajendra Prasad Vs. State of Rajasthan (supra), to show that what are retiral dues :-

(1). As per information on website of Pension Department (https/pension.raj.gov.in), the retiral benefits are considered as under:-

(i) Pension, (ii) Dearness Relief, (iii) Family Pension, (iv) Death-cum-retirement gratuity, (v) Commutation of Pension,

(2). As per Income-Tax Department, the retiral benefits are considered as under for the purpose of taxability:-

(i) Gratuity, (ii) Pension, (iii) Leave Encashment Salary, (iv) Provident Fund, (3). As per Pension Portal of Government of India, retiral benefits are listed as under:

(i) Pension, (ii) Commutation of Pension, (iii) Death-cum-retirement gratuity, (iv) General Provident Fund and Incentives,

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