civil services-delay in making payment of terminal benefits-state is liable to pay interest
The aforesaid settled position leaves no manner of doubt that the petitioner was clearly entitled to encashment of leave in respect of the period of earned leave at his credit on the date of his retirement for 180 days and there was no justification whatsoever in denying the petitioner his rightful dues for a considerable period of time. We find it absolutely expedient and in the interest of justice to direct the respondents to compensate the petitioner for the unjust and unreasonable delay in payment of his terminal benefits by payment of reasonable interest for the period for which the payment was delayed.
Bombay High Court
Bhalchandra Chintaman Gadgil vs Union Of India And Others on 20 December, 1991
Equivalent citations: AIR 1992 Bom 431, 1992 (2) BomCR 503, 1992 (1) MhLj 171
Bench: P D Tipnis
