Delayed-Arrears Interest Claims Must Be Considered Under the Full Bench Ruling, Subject to the Pending Writ

The applicant, a Safai Karamchari, was regularised with effect from 1 April 2004. Arrears for April 2004 to December 2019 were assessed at ₹15,61,231.

After seeking payment of the arrears with interest, he obtained an order in an earlier OA directing the respondents to decide his representation. The principal arrears were paid on 31 August 2026, but interest was not paid.

The applicant then sought consideration of his interest claim in light of the Tribunal Full Bench decision in Rajbir Singh v. Municipal Corporation of Delhi & Anr. The respondents stated that their challenge to that decision was pending before the Delhi High Court.

Whether the respondents should be directed to consider and decide the applicant’s representation seeking interest on delayed payment of arrears in light of the Full Bench decision in Rajbir Singh.

Whether that consideration should be subject to the outcome of the respondents’ pending writ petition challenging the Full Bench decision.

The applicant relied on S.K. Dua v. State of Haryana & Anr., (2008) 3 SCC 44, and the Tribunal Full Bench decision in Rajbir Singh v. Municipal Corporation of Delhi & Anr., OA No. 2821/2023.

As presented to the Tribunal, Rajbir Singh held that delayed payment of pensionary benefits attracts interest at applicable GPF rates, computed on a compound-interest basis.

The Tribunal did not decide whether that rule entitled this applicant to interest; it directed consideration of his representation under Rajbir Singh, subject to the outcome of the pending writ petition.

The principal arrears had been paid, leaving only the claim for interest unresolved.

The applicant confined his requested relief to a direction that the respondents consider his existing representation under the Full Bench ruling. Although the respondents informed the Tribunal that the ruling was under challenge before the Delhi High Court, the Tribunal made no determination on the merits of the interest claim.

Instead, it required the competent authority to consider the representation under Rajbir Singh, expressly subject to the writ petition’s outcome, and to issue a reasoned order.

It directed the competent respondent authority to decide the representation dated 19 August 2025 concerning interest on the delayed arrears, in terms of Rajbir Singh and subject to the outcome of the pending writ petition, by a reasoned and speaking order within four weeks of receiving or being provided a copy of the order.

No order as to costs was made.