High Court of Karnataka at Dharwad Bench Adjudicates Multiple Writ Petitions Filed by Retired Employees of NWKRTC Seeking Mandamus for Interest on Delayed Payment of Leave Encashment. Petitioners Sought Interest Ranging from 12% to 18% Per Annum on Belated Terminal Benefits under Articles 226 and 227 of the Constitution.

High Court: Karnataka High Court Bench: DHARWAD
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Case Note & Summary

The case involves a batch of writ petitions filed by retired employees of the North Western Karnataka Road Transport Corporation (NWKRTC) before the High Court of Karnataka, Dharwad Bench, under Articles 226 and 227 of the Constitution of India. The petitioners, who held various posts such as Traffic Controller, Driver, Artisan, etc., sought a writ of mandamus directing the respondent Management to pay interest on the belated payment of their terminal benefit, specifically leave encashment. The petitioners claimed interest at rates varying from 12% to 18% per annum. The matter was heard on 05.12.2025 and judgment was pronounced on 15.12.2025. The judgment text provided does not include the court's analysis, findings, or final order, thus the decision and ratio are not available in the extract.

Issue of Consideration

Whether retired employees of NWKRTC are entitled to interest on delayed payment of terminal benefits and whether a writ of mandamus can be issued for such interest.

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Case Details

2025 LawText (KAR) (12) 12

W.P. No. 106898 of 2025 c/w W.P. Nos. 100742/2025, 100757/2025, 106043/2025, 106044/2025, 106045/2025, 106048/2025, 106136/2025, 107277/2025, 107871/2025, 107872/2025, 107892/2025, 107931/2025, 107932/2025, 107955/2025, 108203/2025, 108205/2025, 108392/2025, 108394/2025, 108408/2025, 108409/2025, 108464/2025, 108479/2025, 108480/2025, 108485/2025, 108486/2025, 108494/2025, 108495/2025, 108496/2025, 108501/2025, 108502/2025, 108555/2025, 108596/2025, 108597/2025, 108863/2025, 108864/2025, 108910/2025, 109008/2025

2025-12-15

M. Nagaprasanna

Ravi Hegde, Vinay Kumar Bhat, Saroja C. Banakar, H.R. Renuka, Prashant Hosamani

Yallappa S/o Ramappa Alagawadi and others

The Management of NWKRTC, Hubballi Rural Division and others

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Nature of Litigation

Writ petitions under Articles 226 and 227 of the Constitution of India seeking a writ of mandamus to direct the respondent to pay interest on delayed payment of terminal benefits.

Remedy Sought

Petitioners, retired employees of NWKRTC, sought interest at rates ranging from 12% to 18% per annum on the belated payment of leave encashment benefit.

Filing Reason

The respondent delayed payment of terminal benefits (leave encashment) to the petitioners after their retirement.

Issues

Whether the respondent is liable to pay interest on the belated payment of terminal benefits to the retired employees. Whether a writ of mandamus can be issued directing payment of interest at the rate of 12% or 18% per annum.

Acts & Sections

  • Constitution of India, 1950: Article 226, Article 227
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High Court High Court of Karnataka at Dharwad Bench Adjudicates Multiple Writ Petitions Filed by Retired Employees of NWKRTC Seeking Mandamus for Interest on Delayed Payment of Leave Encashment. Petitioners Sought Interest Ranging from 12% to 18% Per Annum on B...
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