Tamil Nadu government sanctions Rs 462 crore for transport corporations

CHENNAI: The Tamil Nadu government has sanctioned Rs 462 crore to clear the amounts due to retired employees of various State Transport Corporations in the State, Advocate-General Vijay Narayan, informed the Madras High Court on Monday.

Of the total sum, Rs 267 crore has been earmarked towards settlement of statutory dues to the retired employees. The remaining Rs 194 crore has been allocated towards second and final settlement of accident claims compensation awarded by various courts and tribunals.

The amount of Rs 462 crore was sanctioned by the Transport (TI) department through a GO dated November 18 last. This would be disbursed within a week from today, the AG told a division bench.
The government had directed the Under Secretary, Transport department, to present necessary bills with reference to the GO to the Pay and Accounts Office at Chepauk and draw an account payee cheque in favour of the Public Deposit Account and disburse the same to the Tamil Nadu Transport Development Finance Corporation Limited.

The AG also submitted that on receipt of the amount from the government, the MDs of all STC undertakings would deposit the compensation amount to the respective courts/tribunals dealing with motor accident cases.