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IN THE HIGH COURT OF ALLAHABAD
Hon'ble Vikram D. Chauhan,J.
Kusum Lata Singh – Appellant
Versus
State Of U.P. – Respondent
| Table of Content |
|---|
| 1. petitioner seeks mandamus for encashment of leave dues. (Para 2 , 3) |
| 2. dues were credited, but interest on delayed payment is contested. (Para 4 , 6) |
| 3. respondents argue no provision for interest on delayed payment. (Para 5 , 7) |
| 4. employee entitled to timely payment of retiral dues. (Para 8 , 9) |
| 5. petitioner entitled to interest due to unexplained payment delay. (Para 10) |
| 6. writ petition disposed with directions for interest payment. (Para 11) |
Hon'ble Vikram D. Chauhan,J.
1. Heard learned counsel for the petitioner and learned Standing Counsel for the respondent-State.
2. The present writ petition has been filed with the following prayers :-
"1:- Issue a writ, order or direction in the nature of mandamus commanding the respondents to forthwith sanction and disburse the amount of encashment of Earn Leave, which has been fallen due to petitioner on the date of her superannuation i.e. 31/03/2018, with interest at the rate of 18% from the date of entitlement till date of actual payment.
2:- Issue a writ, order or direction in the nature of mandamus commanding the respondents to decide the representation dated 14/03/2024 (Annexure No. 2 to writ petition) of petitioner, wit
Retiral dues are property under Article 300A; unexplained delays in payment warrant interest at 6% per annum, with penal compensation for further delays.
Retired employees are entitled to interest on delayed leave encashment payments, and the court can enforce reasonable interest rates despite the employer's financial constraints.
Employees are entitled to interest on delayed payment of leave encashment benefits, which must be paid promptly. In case of delays, interest at rates established by previous judgments may be enforced....
Entitlement to interest on belated government payments of retiral benefits when unjustifiably delayed.
Court affirmed the entitlement to 9% interest on delayed retiral dues, encompassing gratuity and leave encashment, underscoring principles of complete justice.
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