Authority: Court (presiding Judge Reetobroto Kumar Mitra, J.)

Order Date: 10 August 2026

Case Overview

  • Petitioner: Dhurjati Dasgupta, retired employee of Durgapur Projects Ltd, filed a writ petition seeking interest on delayed retirement dues including gratuity and leave encashment.
  • Respondents: Durgapur Projects Ltd and others, represented by Advocate Sujit Sankar Koley, argued that the company's financial condition is extremely unstable and it cannot pay regular salaries, let alone interest.
  • Legal principle: An employee is entitled to receive retirement dues immediately upon retirement; delayed payment attracts interest.
  • Court observation: Despite the company's claim of financial distress, the law mandates payment of interest on delayed dues.

Final Outcome

  • Durgapur Projects Ltd directed to calculate and disburse interest at 6% per annum from the date of accrual until actual payment.
  • Interest amount to be paid within six months of the order's communication.
  • If payment is not made within six months, an additional interest of 2% per annum (total 8%) will be payable to the petitioner.
  • The writ petition is disposed of with these directions; certified copy of the order to be supplied upon compliance.

Topics: Employee Retirement Dues, Court Order, Interest Payment