CAT Orders MCD To Pay Retiree’s Admissible Unpaid Benefits Within Two Months; Interest At Compounded GPF Rates Subject To Delhi HC Outcome

In brief

The question

Whether the applicant was entitled to release of any admissible retirement benefits that remained unpaid.

The court held

The Tribunal disposed of the application by directing the respondents to release any admissible unpaid amount within two months of receiving a certified copy of the order.

It also directed

The applicant was held entitled to interest in accordance with Rajbir Singh, calculated from the date of superannuation and subject to the outcome of the pending Delhi High Court proceedings.

Pending miscellaneous applications were also disposed of, with no order as to costs.

01Facts

The applicant, a retired Group B employee, sought release of outstanding retirement benefits and monthly pension, together with interest on delayed payments.

¶ 1

The respondents reported that 50% of the applicant’s DCRG and his pension commutation had been paid, leave encashment had been paid, GIS had been passed, the GPF file remained under process for voucher verification, and the 7th CPC arrears bill had been passed.

¶ 2

The applicant asked the Tribunal to dispose of the matter in accordance with the Full Bench decision in Rajbir Singh v. MCD & Ors., O.A. No. 2821/2023, decided 30 October 2025.

¶ 3

02Issues

i.Whether the applicant was entitled to release of any admissible retirement benefits that remained unpaid.

¶ 1, 2, 4

ii.Whether the applicant was entitled to interest on delayed retirement benefits and, if so, on what basis and from what date.

¶ 3–5

03Law Applied

The application was brought under Section 19 of the Administrative Tribunals Act, 1985.

¶ 1

Relying on the Full Bench decision in Rajbir Singh v. MCD & Ors., O.A. No. 2821/2023, the Tribunal applied the rule that interest on delayed GPF, pension, gratuity and similar payments is payable at the applicable GPF rate, calculated as compound interest; the Full Bench referred to Rule 65 as providing for interest on delayed payment at the GPF rate.

¶ 3

The Tribunal also treated the date of superannuation as the due date for calculating interest.

¶ 4

The relief was made subject to the final outcome of proceedings pending before the Delhi High Court concerning the Full Bench decision.

¶ 5

Provisions in the judgment · 1 · Linked ones open on LawLens

Administrative Tribunals Act, 1985 Section 19

04Reasoning

The respondents’ status report showed that some benefits had been paid or processed, but the GPF file remained under verification.

¶ 2

Applying the Full Bench’s rule on interest and treating superannuation as the relevant due date, the Tribunal directed release of every admissible amount not already paid. It also granted interest in accordance with Rajbir Singh, while making that entitlement subject to the Delhi High Court proceedings.

¶ 3–5

05Holding

The Tribunal disposed of the application by directing the respondents to release any admissible unpaid amount within two months of receiving a certified copy of the order.

¶ 4

The applicant was held entitled to interest in accordance with Rajbir Singh, calculated from the date of superannuation and subject to the outcome of the pending Delhi High Court proceedings.

¶ 5

Pending miscellaneous applications were also disposed of, with no order as to costs.

¶ 6

LawLens.CAT - ['Delhi']

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