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Judgment
By way of filing the present OA, the applicant is seeking the following relief(s):-
“8.Relief(s) sought:
(a)Allow the present Original Application;
(b)Declare that the Applicant is entitled to interest on the delayed payment of arrears of Rs.15,61,231/- which became due and payable with effect from 01.01.2020;
(c)Direct the Respondents to pay simple interest @ 9% per annum on the amount of Rs.15,61,231/- from 01.01.2020 till 31.08.2026, the date of actual payment of the principal arrears;
(d)Direct the Respondents to calculate and pay an amount of approximately Rs.9,36,600/- towards interest, subject to exact calculation by the Respondents/competent authority;
(e)Award costs of the proceedings in favour of the Applicant……”
The applicant was working as a Safai Karamchari in the Municipal Corporation of Delhi on daily wages with effect from 31.03.1998. His appointment was subsequently regularised as Regular Safai Karamchari with effect from 01.04.2004 in the pay scale of Rs.2550-3200 (pre-revised). The arrears for the period from April 2004 to December 2019 were calculated at Rs.15,61,231/-.
Since the aforesaid arrears were not released, the applicant submitted a representation dated 19.08.2025 seeking release of the outstanding arrears along with interest @ 12% per annum. He thereafter approached this Tribunal in OA No.1113/2026. The said OA was disposed of on 21.04.2026 with a direction to the respondents to consider and decide the pending representation dated 19.08.2025 by passing a reasoned and speaking order within four weeks.
It is stated that, subsequently, the respondents released the principal amount of Rs.15,61,231/- on 31.08.2026. However, the claim for interest on the delayed payment has not been considered/paid. The Contempt Petition No.536/2026 was thereafter disposed of on 21.08.2026 with liberty to the applicant to avail of an appropriate remedy in accordance with law.
Issue notice to the respondents. Mr. Aman Oberoi, learned counsel, who appears on advance receipt of the OA, accepts notice on behalf of the respondents.
At this stage, learned counsel for the applicant also relies upon the judgment of the Hon’ble Supreme Court in the matter of S K Dua Vs. State of Haryana & Anr. (2008) 3 SCC 44. Moreover, he states that the issue involved in the present OA is no longer res integra in view of the decision of the Full Bench of this Tribunal in Rajbir Singh Vs. Municipal Corporation of Delhi & Anr. in OA No. 2821/2023, which has authoritatively held that delayed payment of pensionary benefits attracts interest at the applicable GPF rates and that such interest is to be computed on a compound interest basis. The said judgment, being that of a Full Bench, is binding upon the respondents to consider the case of the applicant. He, accordingly, submits that the grievance of the applicant is now confined to the claim for interest on the delayed payment of arrears only, which had already been specifically raised in the representation dated 19.08.2025 and he will be fairly satisfied if a direction may be issued to the respondents to consider the pending representation in light of Rajbir Singh (Supra).
Learned counsel for the respondents submits that the issue of interest on delayed payment has not attained finality as the respondents have challenged the Order dated 30.10.2025 passed by the Full Bench of this Tribunal in OA No. 2821/2023 before the Hon’ble High Court of Delhi by way of Writ Petition No. 401/2025 and the said Writ Petition is still pending before the Hon’ble High Court for final adjudication.
Heard the parties and perused the record available on record.
In view whereof, without expressing any opinion on the merits of the claim of the applicant for interest on the delayed payment, the present Original Application is disposed of with a direction to the competent authority amongst the respondents to consider and decide the applicant’s representation dated 19.08.2025, insofar as it relates to the claim for interest on the delayed payment of arrears in terms of decision of Full Bench in the matter of Rajbir Singh (Supra) subject to outcome of the Writ Petition pending before the Hon’ble High Court, by passing a reasoned and speaking order, in accordance with law, within a period of four weeks from the date of receipt/production of a copy of this order.
The instant OA stands disposed of in the above terms.
There shall be no order as to costs.
