Authority: Calcutta High Court (Constitutional Writ Jurisdiction, Appellate Side)

Order Date: 20 August 2026

Case Overview

  • Parties: Dilip Kumar Halder (petitioner, retired employee of Calcutta State Transport Corporation) vs. The State of West Bengal, Calcutta State Transport Corporation (CSTC), and others.
  • Nature of Proceeding: Writ Petition (WPA 20899 of 2026) seeking payment of pending statutory terminal dues – provident fund, gratuity, and leave encashment – and interest thereon.
  • Background: The petitioner retired on superannuation on 31 January 2026. He alleges non‑receipt of his provident fund dues and that gratuity and leave encashment were paid belatedly.
  • Key Allegations: Delay in disbursement of statutory terminal dues violates employer’s duty to pay immediately upon retirement.
  • Court Reasoning: The Court relied on its earlier order in WPA No. 8290 of 2026, emphasizing that statutory dues must be released without undue delay. Simple interest is appropriate to compensate for the delay.
  • Directions Issued:
  • CSTC’s Managing Director must release the entire provident fund amount to the petitioner.
  • Simple interest at 6% per annum is to be calculated from the retirement date (31 Jan 2026) until actual payment for the provident fund, gratuity, and leave encashment.
  • Payment of the principal amount and interest must be completed within twelve weeks of the order’s communication.
  • If CSTC fails to comply within the stipulated twelve weeks, the interest rate escalates to 8% per annum (6% + additional 2%) on the due amount from the retirement date until actual payment.
  • Parties are to act on the server copy of the order downloaded from the Court’s official website.
  • A certified copy of the order will be supplied upon completion of requisite formalities.

Final Outcome

  • The writ petition is disposed of. CSTC is legally bound to pay the petitioner’s provident fund, gratuity, and leave encashment with the stipulated interest, adhering to the twelve‑week deadline, with higher interest applicable for further delay.

Topics: Employee Dues, Court Order