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2026 Supreme(Online)(CAT) 327

CENTRAL ADMINISTRATIVE TRIBUNAL
Gugan Singh – Appellant
Versus
Municipal Corporation Of Delhi – Respondent
O.A./3171/2023



Central Administrative Tribunal Principal Bench, New Delhi O.A. No.3171/2023 This the 09th day of January, 2026 Hon’ble Dr. Anand S Khati, Member(A)

Gungan Singh, Aged 61 yrs, S/o Jangli Ram, Post:

SFW, H. No.89, Village Jharoda, Mazra, Burari, Delhi-110084.

...Applicant (By Advocate: Mr. J S Mann)

Versus

1. Municipal Corporation of Delhi through the Commissioner, Dr. Shyama Prasad Mukherjee Civic Centre, Jawahar Lal Nehru Marg, New Delhi-110002.

2. Deputy Commissioner (MCD), Civil Line Zone, Delhi Municipal Corporation, 16, Rajpur Rd, Kamla Nehru Ridge, Civil Lines, Delhi-110054. ...Respondents (By Advocates: Ms. Charu Jha for Mr. Subodh Kumar Jha)

ORDER (ORAL)

Hon’ble Dr. Anand S Khati, Member (A):-

In the present Original Application, filed under Section 19 of the Administrative Tribunals Act, 1985, the applicant has prayed for the following reliefs:

“a) To direct the respondents to release remaining amount of retirement benefits etc. along with interest @18% as per details furnished in ANNEXURE-A-1.

b) To direct the respondents to grant interest @ 18% or as deemed fit in respect of all delayed payments of retirement benefits already made as per details furnished in ANNEXURE-A-1.

c) Any other relief or direction which this Hon'ble Tribunal deems fit and proper in view of the facts and circumstances of the case may be granted/passed in favor of the applicant and against the respondents.”

2. At the outset, learned counsel for the applicant submits that the amount of retirement Gratuity, CVP, GIS, GPF and Leave Encashment has been paid to the applicant. However, the same has been paid belatedly. Therefore, he requests to direct the respondents to pay the interest for the delayed payments. Learned counsel for the applicant relies upon the decision rendered in O.A. No. 2821/2023, Rajbir Singh vs. MCD & Ors., decided on 30.10.2025 by a Full Bench of this Tribunal. The relevant portion of the said judgment reads as under:

"19. Thus, in view of the aforesaid deliberations and pleadings, we are of the considered opinion that on the delayed payment of GPF as well as Pension, Gratuity etc., interest would be payable at the rate of GPF for the relevant years. It is clarified that interest on the delayed payment of GPF amount is to be calculated on the basis of compound interest which shall also be applicable on delayed payment of Pension and Gratuity etc.

20. As far as the judgment dated 07.08.2024 passed by the Hon'ble Supreme Court of India in Special Leave Petition (Civil) No. 812 of 2014 titled D. Khosla and Company vs. The Union of India, which has been relied upon by the learned counsel for the respondents, is concerned, the ratio laid down in that judgment is not applicable to the facts and circumstances of the referred cases as D. Khosla (supra) relates to compensation awarded on the basis of a contractual agreement, whereas Rule 65 specifically provides for interest on delayed payment on the basis of GPF rate. Thus, no benefit can be extended in favour of the respondents by relying on the law laid down in D. Khosla (supra) in service matters.

21. Thus, on the basis of the aforesaid discussion, the reference is decided in the terms discussed hereinabove, which shall be followed in all cases involving delayed payment of GPF, Gratuity, and other similar amounts. A copy of this judgment and order shall also be placed in the respective case files of the OAs remanded by the Hon'ble High Court of Delhi in its decision dated 06.02.2025 passed in W.P. (C) No. 14406/2024, Ishwar Singh vs. MCD, Delhi & Anr., and connected matters, for decision by this Tribunal. A copy of this judgment shall also be sent to the Principal Registrar, Principal Bench of this Tribunal, for placing before the Hon'ble Chairman, and the judgment passed in reference shall be circulated amongst all Benches of the Tribunal."

3. Mr. Charu Jha, learned advocate, appears on behalf of Mr.

Subodh Kumar Jha, learned counsel for the respondents.

4. In view of the above, the present O.A. is

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