- 1 - HC-KAR NC: 2025:KHC:34925 WP No. 23214 of 2025 C/W WP No. 23451 of 2025 WP No. 23510 of 2025 AND 1 OTHER IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 4TH DAY OF SEPTEMBER, 2025 BEFORE THE HON'BLE MR. JUSTICE H.T. NARENDRA PRASAD WRIT PETITION NO. 23214 OF 2025 (S-R) C/W WRIT PETITION NO. 23451 OF 2025 (S-RES) WRIT PETITION NO. 23510 OF 2025 (S-RES) WRIT PETITION NO. 23652 OF 2025 (S-RES) IN WP NO. 23214/2025 BETWEEN: SHRI. MANOJ KUMAR SRIVASTAVA AGED ABOUT 63 YEARS S/O LATE SRI ANAND SWARUP VERMA R/O NO.D-16, SECTOR-1, ITI COLONY DOORBHASH NAGAR, RAEBARELI-229010. …PETITIONER (BY SRI. KRISHNADAS RAI T., ADVOCATE) AND: 1. THE CHAIRMAN AND MANAGING DIRECTOR ITI LIMITED(A GOVT OF INDIA UNDERTAKING) ITI BHAVAN. DOORAVANINAGAR BENGALURU- 560 016. 2. THE GENERAL MANAGER HR ITI LIMITED (A GOVT OF INDIA UNDERTAKING) ITI BHAVAN, DOORAVANINAGAR BENGALURU- 560 016. …RESPONDENTS Digitally signed by HEMALATHA A Location: HIGH COURTOF KARNATAKA - 2 - HC-KAR NC: 2025:KHC:34925 WP No. 23214 of 2025 C/W WP No. 23451 of 2025 WP No. 23510 of 2025 AND 1 OTHER (BY SMT. VARSHA HITTINAHALLI., ADVOCATE FOR R1 & R2) THIS WRIT PETITION IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA PRAYING TO DIRECT THE RESPONDENTS TO DISBURSE THE PRIVILEGE LEAVE ENCASHMENT ENTITLEMENT OF THE PETITIONER AND ALL PENDING FINAL SETTLEMENT AS ON THE DATE OF HIS SUPERANNUATION WITH INTEREST AT 18 PERCENT P.A. FROM THE DATE OF SUPERANNUATION TILL THE DATE OF ACTUAL PAYMENT AND ETC. IN WP NO. 23451/2025 BETWEEN: SHRI. PYUSH RAJ AGED ABOUT 61 YEARS S/O SHRI AMAR NATH R/O NO.5075, PRESTIGE MISTY WATERS VISTA TOWER, HEBBAL, KEMPAPURA BENGALURU-560024 ...PETITIONER (BY SRI. KRISHNADAS RAI T., ADVOCATE) AND: 1. THE CHAIRMAN AND MANAGING DIRECTOR ITI LIMITED (A GOVT OF INDIA UNDERTAKING) ITI BHAVAN. DOORAVANINAGAR BENGALURU-560016. 2. TH GENERAL MANAGER ITI LIMITED (A GOVT OF INDIA UNDERTAKING) NETWORK SYSTEMS UNIT, DOORAVANINAGAR BENGALURU-560 016. ...RESPONDENTS (BY SMT VARSHA HITTINAHALLI, ADVOCATE FOR R1 & R2) THIS WRIT PETITION IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA PRAYING TO DIRECT THE - 3 - HC-KAR NC: 2025:KHC:34925 WP No. 23214 of 2025 C/W WP No. 23451 of 2025 WP No. 23510 of 2025 AND 1 OTHER RESPONDENTS TO DISBURSE THE PRIVILEGE LEAVE ENCASHMENT ENTITLEMENT AND OTHER PENDING DUES OF THE PETITIONER FROM THE DUE DATE WITH INTEREST OF 18 PERCENT P.A TILL THE DATE OF ACTUAL PAYMENT AND ETC. IN WP NO. 23510/2025 BETWEEN: SMT. S INDUMATHI AGED ABOUT 62 YEARS W/O P.KRISHNAN R/O # 4, 3RD MAIN ROAD OLD SANTHE ROAD, RAMAMURTHY NAGAR DOORAVANI NAGAR, BENGALURU-560016. ...PETITIONER (BY SRI. KRISHNADAS RAI T., ADVOCATE) AND: 1. THE CHAIRMAN AND MANAGING DIRECTOR ITI LIMITED (A GOVT OF INDIA UNDERTAKING) ITI BHAVAN. DOORAVANINAGAR BENGALURU- 560 016. 2. THE GENERAL MANAGER ITI LIMITED (A GOVT OF INDIA UNDERTAKING) BANGALORE PLANT, DOORAVANINAGAR BENGALURU-560 016. ...RESPONDENTS (BY SMT. VARSHA HITTINAHALLI., ADVOCATE FOR R1 & R2) THIS WRIT PETITION IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA PRAYING TO DIRECT THE RESPONDENTS TO DISBURSE THE PRIVILEGE LEAVE ENCASHMENT ENTITLEMENT OF THE PETITIONER AND ALL PENDING FINAL SETTLEMENT AS ON THE DATE OF HER SUPERANNUATION WITH INTEREST AT 18 PERCENT P.A. FROM - 4 - HC-KAR NC: 2025:KHC:34925 WP No. 23214 of 2025 C/W WP No. 23451 of 2025 WP No. 23510 of 2025 AND 1 OTHER THE DATE OF SUPERANNUATION TILL THE DATE OF ACTUAL PAYMENT AND ETC. IN WP NO. 23652/2025 BETWEEN: SHRI SANJAY KUMAR RAINA AGED ABOUT 61 YEARS S/O LATE SHRI JIA LAL RAINA R/O FLAT NO 2B 304, TOWER -2 BOOVANAHALLI DEVANAHALLI BENGALURU RURAL, 562110. ...PETITIONER (BY SRI. KRISHNADAS RAI T., ADVOCATE) AND: 1. THE CHAIRMAN AND MANAGING DIRECTOR ITI LIMITED (A GOVT OF INDIA UNDERTAKING) ITI BHAVAN. DOORAVANINAGAR BENGALURU- 560 016. 2. THE GENERAL MANAGER ITI LIMITED (A GOVT OF INDIA UNDERTAKING) ITI BHAVAN. DOORAVANINAGAR BENGALURU- 560 016. ...RESPONDENTS (BY SMT. VARSHA HITTINAHALLI, ADVOCATE FOR R1 & R2) THIS WRIT PETITION IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA PRAYING TO DIRECT THE RESPONDENTS TO DISBURSE THE PRIVILEGE LEAVE ENCASHMENT ENTITLEMENT OF THE PETITIONER AND ALL PENDING FINAL SETTLEMENT AS ON THE DATE OF HIS SUPERANNUATION WITH INTEREST AT 18 PERCENT PER ANNUM FROM THE DATE OF SUPERANNUATION TILL THE DATE OF ACTUAL PAYMENT AND ETC. - 5 - HC-KAR NC: 2025:KHC:34925 WP No. 23214 of 2025 C/W WP No. 23451 of 2025 WP No. 23510 of 2025 AND 1 OTHER THESE PETITIONS, COMING ON FOR PRELIMINARY HEARING IN ‘B’ GROUP, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE H.T. NARENDRA PRASAD ORAL ORDER In all these matters, the petitioners who were employees of ITI Limited have sought for issuance of writ of mandamus to direct the respondents to settle and disburse the privilege leave encashment entitlement of the petitioners as on the date of superannuation and other pending terminal benefits with interest at 18% per annum from the date of payment till the date of actual payment. 2. Learned counsel appearing for the respondents has filed a memo upon instructions and has enclosed the list of amounts to be paid by the respondents to the petitioners for payment of privilege leave encashment insofar as petitioners in all these petitions are concerned. The same is extracted below: Sl. No Case No Name of the Petitioner Staff No Amount Claimed by Petitioners(in INR) Amount to be paid by ITI (in INR) 1 WP 23214/2025 Sri Manoj Kumar Srivastava 30125 9,31,176 10,05,759 - 6 - HC-KAR NC: 2025:KHC:34925 WP No. 23214 of 2025 C/W WP No. 23451 of 2025 WP No. 23510 of 2025 AND 1 OTHER 2 WP 23451/2025 Sri Pyush Raj 37540 18,93,570 18,87,270 3 WP 23510/2025 Smt.S.Indumathi 486C 4,83,971 4,83,972 4 WP 23652/2025 Sri Sanjay Kumar Raina 839C 7,36,913 7,36,914 Total 41,13,915 3. Learned counsel for respondents further submits that insofar as payment of interest, in light of financial constraints, respondents are not in a position to make commitment regarding payment of interest. 4. Learned counsel for petitioner submits that the delayed payment is to be saddled with interest and draws attention to the order passed in the case of Indian Telephone Industries Limited and Another v. Ashok Kumar Shukla and Another (Special Leave Petition No.7939/2024) passed in the case of very same respondents wherein the interest is paid at 7% per annum. Other judgments of the Apex Court are also relied upon regarding payment of interest and reliance is placed on the case of State of Kerala and Others v. M.Padmanabha Nair reported in AIR 1985 SC 356 as - 7 - HC-KAR NC: 2025:KHC:34925 WP No. 23214 of 2025 C/W WP No. 23451 of 2025 WP No. 23510 of 2025 AND 1 OTHER well as in the case of Vijay L. Mehrotra v. State of Uttar Pradesh and Others reported in (2001) 9 SCC 687 and Kona Appa Rao v. State of Andhra Pradesh reported in 2024 SCC Online 2730. 5. 5. Admittedly, grant of interest is not governed by any notification or regulation by any Service Regulation of the respondent-Company. However, the courts have granted interest on the delayed payment and in the case of very same respondent-Company in the case of Indian Telephone Industries Limited and Another v. Ashok Kumar Shukla and Another (Special Leave Petition No.7939/2024) the Court has granted 7% interest. The Apex Court has upheld the grant of interest at 7% as was granted by the High Court. 6. Taking note of peculiar facts and circumstances of the case including the submission of the respondents, in order bring quietus to the present litigation, it would be appropriate to grant interest as was affirmed in the case of Indian Telephone Industries Limited and Another v. - 8 - HC-KAR NC: 2025:KHC:34925 WP No. 23214 of 2025 C/W WP No. 23451 of 2025 WP No. 23510 of 2025 AND 1 OTHER Ashok Kumar Shukla and Another (Special Leave Petition No.7939/2024). 7. Accordingly, interest on delayed payment is to be calculated at 7% per annum. The payment of interest would be calculated from the date when it becomes due as per the applicable service rules. 8. In respect of payment of amounts for leave encashment is concerned, the respondents are directed to pay the same to the petitioners within three months from the date of receipt of a copy of this order. In respect of interest is concerned, the respondents are directed to pay interest within three months from the date of payment of the leave encashment amount. 9. Accordingly, the petitions are disposed of in terms of the above. Sd/- (H.T. NARENDRA PRASAD) JUDGE CM List No.: 1 Sl No.: 54