The court ruled that a landowner cannot be penalized for a tenant's violation of environmental laws if the owner is not involved in any criminal or harmful activity, affirming the necessity of jurisdiction in sealing orders.

JUDGMENT

Prathiba M. Singh, J. (Oral)--This hearing has been done through hybrid mode.

2. The present petition has been filed by the Petitioner/Landlady - Smt. Sunita Aggarwal (hereinafter, "Landlady"), who claims to be the owner of the premises bearing No.E-6, Sector-2, Bawana Industrial Area, Delhi-110039 (hereinafter, "subject premises"), challenging the letter/order dated 29th August, 2019 issued by the Respondent No.1 - Delhi Pollution Control Committee (hereinafter, "DPCC"), and the order dated 15th October, 2019 issued by the Respondent No.2 - SDM, Narela. Vide the impugned order dated 29th August, 2019, the DPCC directed the Tenant of the subject premises - M/s. Shri Ram Dyeing, for closure of its industrial unit. Further, vide impugned order dated 15th October, 2019, the Respondent No.2 has directed the sealing of the industrial unit of M/s. Shri Ram Dyeing and its functioning.

3. The background of the present case is that the Petitioner/Landlady had entered into a rent agreement dated 7th December, 2017, along with her husband, vide which she rented out the subject premises to one M/s. Shri Ram Dyeing. As per the said rent agreement, the Tenant was to ensure that it does not undertake any activity in the subject premises which is in contravention to any law, byelaws, regulations and rules. The Tenant was also required to obtain necessary permissions for running of the business concern. Further, the Tenant was also to be responsible for proper working, in terms of the rules and regulations of various authorities, including the DPCC. The relevant clauses of the rent agreement dated 7th December, 2017 are extracted below:

"9. That the Tenant shall be liable and responsible for any accident, incident, causality, fire, injury, electric misuse or any other incidents during the tenancy period and the Landlord shall not be liable for the same in any manner.

12. That the Tenant shall not contravene any laws, bye-laws, Rules and Regulations made thereunder of the local bodies, viz MCD, DSIIDC, DVB/NDPL, and other local authorities including the Co-Society, in case of any violation, deviation or misuse of the tenanted premises, he/she shall be fully responsible for the same and the Landlord shall have no concern whatsoever of any sort with the same.

20. That tenant shall be responsible for proper working as per rule and regulation of MCD, ESI, Labour Law, Service Tax Department, Pollution Department (DPCC), and/or any other department/authority concerned which is related or applicable to the business of the tenant."

4. During the course of the said tenancy, the impugned order dated 29th August, 2019 was passed by the Respondent No.1 - DPCC, wherein various irregularities were observed as mentioned below:

i. Tenant had not switched over the boiler into PNG fuel.

ii. Tenant was operating without valid Consent to Establish/Operate from DPCC and in violation of the provision of the Air (Prevention and Control of Pollution) Act, 1981 and the Water (Prevention and Control of Pollution) Act, 1974.

iii. Tenant had not complied with Hazardous Waste Management Rules, 2016.

5. Accordingly, on the basis of the above findings, the Competent Authority of the DPCC directed the Tenant to close the unit with immediate effect, and an environmental compensation of Rs.36,40,000/- was imposed upon the Tenant, to be deposited in favour of the DPCC. The relevant portion of the impugned order dated 29th August, 2019, is set out below:

"Now, therefore, the Competent Authority in Delhi Pollution Control Committee, hereby issues the following directions:

(1) That you (t