SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2026 Supreme(Online)(Mad) 47315

IN THE HIGH COURT OF JUDICATURE AT MADRAS
P.T. Asha, J
E. Venkatachalam – Appellant
Versus
Managing Director Tamil Nadu State Transport Corporation – Respondent
Writ Petition



Advocates:
For the Appellants/Petitioners: N. Desinghu
For the Respondents: K. Raja

A writ of mandamus can be issued to command a public authority to consider and settle a retired employee's legitimate claim for outstanding pay commission arrears and earned leave encashment if such claims have been ignored.

Headnote:The matter concerns the non-payment of arrears owed to a retired employee of a state-owned transport corporation. A writ of mandamus was sought under Article 226 of the Constitution of India to compel the respondent to disburse outstanding differential amounts related to the 7th Pay Commission arrears and Earned Leave Surrender benefits. The court noted that the petitioner's representation remained unaddressed by the respondent and determined that the petitioner is entitled to the disbursed arrears. The primary issue was whether the respondent was obligated to settle the retirement arrears with interest. The court reasoned that in the interest of justice and given the limited scope of the relief requested, the state-operated employer is bound to rectify the payment deficiency. The court applied a modified interest rate of 6% per annum on the arrears instead of the 12% claimed by the petitioner. The writ petition is allowed.

Table of Content
1. failure to pay retiral benefits and arrears necessitates judicial intervention. (Para 1 , 2 , 3)
2. court grants limited mandamus directing payment of arrears with reasonable interest. (Para 5 , 6)

ORDER

The writ petition is filed for the relief set out below:

"directing the Respondent to pay the belated payment of differential amount of 7th pay Commission Arrears of Rs.89,000/- and Earned Leave Surrender Arrears in the year 2009-2012 of Rs.35,000/- along with interest at the rate of 12 percent and considering the petitioner representation dated 18.03.2026 within the stipulated time"

2. The brief facts which has culminated in the filing of this writ petition are set out below:

2.1. It is the case of the petitioner that at the time of retirement, he was working as "Superintendent" in the Respondent Corporation. It is the contention of the petitioner that the pay scale of the petitioner has to be revised as per the 7th pay commission.

2.2. He further submits that retirement benefits were also to be disbursed taking note of the said revision as per the 7th pay commission. However, the said increase and new scale of pay Rs.56,100 – 1,77,500/- was not taken into consideration while calculation his retirement benefits.

3. The petitioner had made a representation to the respondent to pay him the differential payment with interest. However, the same had not been considered to date by the respondents. Hence, the petitioner is before this Court.

4. Heard the learned Counsel on either side and perused the records.

5. Considering the limited request of the petitioner and taking note of the fact that the petitioner's representation has not been considered to date by the Respondents, a mandamus, is therefore, issued to the respondents to pay the Arrears of Rs.89,000/- and Earned Leave Surrender Arrears in the year 2009- 2012 of Rs.35,000/- to the petitioner based on 7th pay commission at the rate of 6% instead of 12% per annum as claimed for, from the said date of entitlement to till the date of actual disbursement within a period of one month from the date of receipt of a copy of this order.

6. Accordingly, this Writ Petition is allowed. There shall be no order as to costs.

Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top