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Judgment
Heard learned counsel for the parties.
Instant writ petition under Article 226 of the Constitution of India has been preferred claiming interest on the delayed payment of gratuity and Contributory Provident Fund by the respondents.
According to the learned counsel for the petitioner, the petitioner retired from service on 30.07.1994. However, before retirement, disciplinary proceedings were initiated against the petitioner in the year 1993. After receipt of the enquiry report, the Disciplinary Authority passed an order dated 2.2.1994 imposing penalty to the tune of Rs.10,000/ in odd, which was to be deducted from the salary of the petitioner. It has been submitted by the learned counsel for the petitioner that final payment was made on 12.2.1996 and C.P.F. was paid in the year 1996. Accordingly, the submission of the learned counsel for the petitioner is that in spite of completion of the enquiry, gratuity and C.P.F. were paid after more than a year. Learned counsel for the petitioner has relied upon the judgment of Hon''ble Supreme Court as well as this Court reported in (2007) 3 SCC 545; Alok Shanker Pandey v. Union of India and 1997 (15) LCD 1163; C.M. Wahal (since deceased, represented by his substituted LRs) v. Divisional Manager, Life Insurance Corporation of India, Varanasi and another.
After conclusion of the disciplinary proceedings, it was incumbent upon the respondents to pay the entire gratuity, C.P.F. and other dues within reasonable period but were paid after more than one year.
It is settled proposition of law that a retired employee cannot be put to suffer for no fault on his/or fault with regard to payment of post retiral dues. In case, the post retiral dues including gratuity and C.P.F. etc. are paid after inordinate delay, in view of law settled by Hon''ble Supreme Court, such employee shall be entitled for interest.
Accordingly, the writ petition is allowed to that extent and a writ in the nature of mandamus is issued commanding the opposite parties to pay interest at the rate of 10 per cent per annum from the period calculated after lapse of three months from the due date of payment i.e. from the date of conclusion of the disciplinary proceedings.
Let necessary exercise be done within a period of four months from the date of receipt of a certified copy of this order.
The writ petition is allowed accordingly. No order as to costs.
(Petition allowed)