M.SHANMUGAM (Rtd Staff NO.DR3517) v. THE MANAGING DIRECTOR
WP/25905/2026 · 2026-07-09
P T Asha
Transfer Petitionbody2026
DailyLaw.ai
[ 2026 DAILYLAW 51249 (MAD) · dailylaw.ai ]
DailyLaw.ai
[ 2026 DAILYLAW 51249 (MAD) · dailylaw.ai ]
Judgment text
Extracted from the PDF above. The PDF is authoritative.
WP No. 25905 of 2026 __________ Page1 of 7 IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 09-07-2026 CORAM THE HON'BLE MS. JUSTICE P.T. ASHA WP Nos. 25905, 25910 & 25915 of 2026 M.Shanmugam ..Petitioner(s) Vs The Managing Director Tamil Nadu State Transport Corporation (Salem) Limited, No.12, Ramakrishna Road, Salem-636 007 ..Respondent(s) WP No. 25910 of 2026 P. Balakrishnan ..Petitioner(s) Vs The Managing Director Tamil Nadu State Transport Corporation (Salem) Limited, No.12, Ramakrishna Road, Salem-636 007 ..Respondent(s) WP No. 25915 of 2026 R. Velumani ..Petitioner(s) Vs The Managing Director Tamil Nadu State Transport Corporation (Salem) Limited, No.12, Ramakrishna Road, Salem-636 007 ..Respondent(s) https://www.mhc.tn.gov.in/judis
WP No. 25905 of 2026 __________ Page2 of 7 Prayer: This writ petition is filed under Article 226 of the Constitution of India, seeking writ of mandamus directing the respondents to disburse the belated payment of interest amount of provident fund, Gratuity and Earned Leave Salary amounts and other unsettle benefits of Difference amount of Gratuity and E.L. Salary per 12(3) wage Settlement and 10 days last month salary with effect from 01.06.2025 within the stipulated time. WP No. 25910 of 2026 Prayer: This writ petition is filed under Article 226 of the Constitution of India, seeking writ of mandamus directing the Respondents to disburse the belated payment of interest amount of provident fund, Gratuity and Commutation amounts and other unsettle benefits of arrears of E.L. Salary for the year 2009-2012 difference amount of Gratuity and E.L. Salary as per 12(3) wage Settlement and 10 days last month salary with effect from 01.06.2022 within the stipulated time. WP No. 25915 of 2026 Prayer: This writ petition is filed under Article 226 of the Constitution of India, seeking writ of mandamus directing the Respondents to disburse the belated payment of interest amount of provident fund, Gratuity and Earned Leave Salary amounts and other unsettle benefits of difference amount of Gratuity and EL salary 12(3) wage Settlement and 10 days last month salary with effect from 01.06.2025 within the stipulated time. For Petitioner(s): Mr. N.Desinghu For Respondent(s): Mr.
K.Raja Standing Counsel R1 https://www.mhc.tn.gov.in/judis
WP No. 25905 of 2026 __________ Page3 of 7 Order These writ petitions are filed for the following relief:
“To direct respondent to disburse the belated payment of interest amount of provident fund, Gratuity and Earned Leave Salary amounts and other unsettle benefits of difference amount of Gratuity and EL salary as per 12(3) wage Settlement and 10 days last month salary. 2. It is the case of the petitioners that they joined the services of the respondent corporation on various dates and had retired from service on attaining the age of superannuation on 31.05.2025 & 31.05.2022, retrospectively. The petitioners would submit that 12(3) wage settlement was entered into between the respondent corporation and the trade union and the same was given retrospective effect. 3. The contention of the petitioners is that they are entitled to the revision of pay and consequential terminal benefits with effect from 01.06.2022 & 01.06.2025. However, they were paid the terminal benefits based on the pre-revised pay and not as per the 12 (3) wage settlement. Further, their terminal benefits were also settled belatedly and 10 days https://www.mhc.tn.gov.in/judis
WP No. 25905 of 2026 __________ Page4 of 7 salary has not been paid to the petitioners. Therefore, the petitioners had submitted a representation to the respondents to pay interest for the belated terminal benefits and the differential amount in leave salary and gratuity with interest, but the same was not considered to date. Hence, the petitioners are before this Court, to espouse the said cause. 4.Heard the learned counsel on either side and perused the materials available on records. 5. The stand of the petitioners cannot be disputed.
In view of the 12 (3) wage settlement which entitles the employees of the Transport Corporation to revision of pay including gratuity and encashment of leave, the respondents are directed to pay interest at the rate of 6% per annum for the belated payment of admissible terminal benefits from the date of retirement till the date of actual disbursal of the terminal benefits of the petitioner and to pay the eligible differential amount in leave salary and gratuity as per the 12(3) settlement, along with admissible interest and also to disburse 10 days salary, if there is no other impediment in disbursing the same, within a period of six weeks from the date of receipt of a copy of this order, taking into account the bank rate of interest on deposits. https://www.mhc.tn.gov.in/judis
WP No. 25905 of 2026 __________ Page5 of 7
6. With the above directions, these writ petitions are disposed of. There shall be no order as to costs. 09-07-2026 Index: Yes/No Speaking/Non-speaking order Neutral Citation: Yes/No KAN https://www.mhc.tn.gov.in/judis
WP No. 25905 of 2026 __________ Page6 of 7 To The Managing Director Tamil Nadu State Transport Corporation (Salem) Limited, No.12, Ramakrishna Road, Salem-636 007 https://www.mhc.tn.gov.in/judis
WP No. 25905 of 2026 __________ Page7 of 7 P.T.ASHA J. KAN WP Nos. 25905, 25910 & 25915 of 2026 09-07-2026 https://www.mhc.tn.gov.in/judis