The Tamil Nadu government has informed the Madras High Court that it will issue an order for the release of the amount due to retired employees of state transport undertakings.
Action is being taken for the release of "a ways and means advance of Rs 175 crore" towards the settlement of statutory dues to the retired employees despite heavy financial crisis, Advocate General (AG) Vijay Narayan submitted.
The state government, as on June 22, owed Rs 614.91 crore to more than 7,000 retired employees of its transport undertakings towards statutory dues such as provident fund, gratuity and other superannuation benefits.
Similarly, it owed Rs 5,074.75 crore to its existing employees.
The court had earlier criticised the government after the matter was brought to its notice by an 82-year-old retired employee through a post card.
The high court treated the letter sent by Mayandi Servai as a PIL and the government agreed to settle Rs 1,136 crore in dues.
A direction was passed by the court to settle Rs 379 crore by December 15.
When the plea was taken up for hearing on December 22, the government submitted that despite financial crisis, it was taking steps to release Rs 175 crore.
The AG submitted that as the minister for transport department was not in station, a government order could not be issued immediately.
"It is assured that the same would be issued forthwith, enabling disbursement of Rs 175 crore by December 26," he said.
When a division bench of Justices S Manikumar and R Sureshkumar said even after disbursement of Rs 175 crore, there is a deficit of Rs 204 crore, the AG submitted that he would get appropriate instructions from the authorities concerned.
Recording the submission, the court told the Advocate General that the third instalment of the dues falls on January 15, 2018.
The bench then posted the matter to January 3, 2018 for further hearing.
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