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IN THE HIGH COURT OF JUDICATURE AT MADRAS
C.V.KARTHIKEYAN, K.KUMARESH BABU
Indian Council of Medical Research, Represented by its Director-General and Secretary to Department of Health Research Ansari Nagar, New Delhi – Appellant
Versus
V.Shanthi Balasubramaniam – Respondent
ORDER :
K.KUMARESH BABU., J.
The lis involved in these batch of Writ Petitions is as to whether the first respondent in the respective Writ Petitions are entitled to interest for the belated payment of their terminal benefits and hence, with the consent of the respective learned counsels are taken up together.
2. Heard Mr.K.Srinivasa Murthy, learned counsel for the petitioners and Mr.C.Vigneswaran, learned counsel appearing on behalf of the first respondent in the respective Writ Petitions.
3. Mr.K.Srinivasa Murthy, learned counsel for the petitioners would submit that the first respondent in the respective Writ Petitions were working on ad hoc basis in the respective posts. They had approached the Central Administrative Tribunal seeking for regularisation wherein by order dated 04.12.2001, the petitioners were directed to consider their case for regularisation. Being aggrieved against the same, the petitioners had approached this Court by filing Writ Petitions which came to be dismissed and the same has also been affirmed by dismissal of the Special Leave Petition by the Hon'ble Apex Court.
4. In the interregnum, the first respondent had superannuated from service. Alleging non impleme
Retiring employees are entitled to interest on delayed terminal benefits as per judicial directives, reaffirming previous orders regarding pension disbursement.
No contempt where respondents complied with court order on payable benefits; pension interest claim lies against separate trust.
Entitlement to claim interest for belated settlement of terminal and pensionary benefits as per the established legal proposition.
The main legal point established in the judgment is that under Rule 45A of the Tamil Nadu Pension Rules, 1978, a retired person is entitled to belated payment interest on all terminal benefits, inclu....
The duty to pay terminal benefits on the date of retirement and the serious prejudice caused by belated disbursement justified the payment of interest on the belated payment.
The court upheld the exoneration of an employee despite procedural delays, affirming the entitlement to interest on delayed payments.
Delays in disbursing retirement benefits due to audit objections and litigation do not warrant the payment of interest.
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