Back
2010 Supreme(Mad) 3211
High Court of Judicature at Madras
ELIPE DHARMA RAO & N. PAUL VASANTHAKUMAR
The All India Skin and Hide Tanners & Merchants Association, a Society Registered under the Tamil Nadu Societies Registration Act, Leather Centre
Versus
The Loss of Ecology (Prevention and Payment of Compensation) Authority, Chennai & Others
Writ Petition No.22683 of 2009 & M.P.Nos.1 & 2 of 2009
Decided On :08-02-2010
For the Petitioner:G. Rajagopalan, Senior Counsel for M/s. G.R. Associates, Advocate.
For the Respondents:R1, N. Sankaravadivel, R2, R3, T. Mohan, Advocates.
The 'polluter pays' principle and 'absolute liability' were central to the court's decision, emphasizing the responsibility of polluters to compensate for environmental damage.
Headnote:
Pollution - Loss of Ecology - Environment (Protection) Act, 1986, Section 3(3) - Environment (Protection) Rules, 1986, Rule 6 - The court discussed the principles of 'polluter pays' and 'absolute liability' in the context of environmental damage caused by tanneries in Tamil Nadu. The court upheld the authority's subsequent award for compensation to individuals affected by pollution, rejecting the petitioner's contentions of jurisdiction, limitation, and violation of natural justice.
Fact of the Case:
The writ petition sought to quash the award and report for Vellore district, passed by the Loss of Ecology (Prevention and Payment of Compensation) Authority. The petition stemmed from a PIL filed before the Supreme Court, alleging environmental damage caused by tanneries in Tamil Nadu and seeking compensation for affected individuals.
Finding of the Court:
The court found that the subsequent award for compensation was valid and in continuation of the earlier award, rejecting the petitioner's arguments of jurisdiction, limitation, and violation of natural justice.
Issues: The issues included the jurisdiction of the authority, limitation of claims, binding nature of previous orders, liability of polluters, and violation of natural justice.
Ratio Decidendi: The court held that the polluters' liability is absolute and the subsequent award was a continuation of the earlier award, rejecting the petitioner's contentions. The court also found no violation of natural justice in the authority's proceedings.
Final Decision: The writ petition was dismissed, and no costs were awarded. The connected miscellaneous petitions were closed.
Elipe Dharma Rao, J
The present writ petition has been filed to quash the award and report for Vellore district, passed by the 1st respondent -The Loss of Ecology (Prevention and Payment of Compensation) Authority, dated 24.8.2009.
2. The background of facts leading to filing of this writ petition, in brief, are as follows :-
Aggrieved by the manner in which the tanneries in the state of Tamil Nadu are posing threat to the ecosystem and alleging that enormous discharge of untreated effluents into the river Palar is resulting in non-availability of potable water in the area, a Public Interest Litigation under Article 32 of the Constitution of India was filed before the Honourable Supreme Court in W.P.(C) No.914 of 1991 by Vellore Citizens Welfare Forum, praying to issue a Writ of Mandamus, directing the respondents therein viz. Union of India and the State of Tamil Nadu, to immediately pay adequate compensation to victims of pollution and to those who lost their lives, food crops, vegetation, trees, agricultural land, wells and suffered severe hardship due to irresponsible and negligent act of polluting tanneries, the amount to be paid in compensation to the affected people be recovered from the polluting tanneries and the Honourable Apex Court in its landmark judgment in VELLORE CITIZENS WELFARE FORUM vs. UNION OF INDIA AND OTHERS [AIR 1996 SC 2715], dated 28.8.1996, has directed the Central Government to constitute an authority under S.3(3) of the Environment (Protection) Act, 1986 which shall confer on the said authority all the powers necessary to deal with the situation created by the tanneries and other polluting industries in the State of Tamil Nadu. The Apex Court has also observed that the Madras High Court would be in a better position to monitor these matters hereinafter and requested the Chief Justice of the Madras High Court to constitute a Special Bench "Green Bench" to deal with this case and other environmental matters. With specific directions and observations, such PIL was transferred to the Madras High Court, which was renumbered as W.P.No.13433 of 1996. In obedience of the direction of the Apex Court, the Loss of Ecology (Prevention and Payment of Compensation) Authority has been constituted by the Government of India, vide its Notification in S.O.671 (E), dated 30.9.1996 with a retired Judge of this Court, as the Chairperson and the said Authority started functioning from 23.9.1998. Among other powers and functions, mainly the Authority is to assess the loss to the ecology and environment in the affected areas and also identify the individuals and families who have suffered because of the pollution and assess the compensation to be paid to the said individuals and families and to determine the compensation to be recovered from the polluters as cost of reversing the damaged environment. By the Award dated 7.3.2001, the said Authority identified 29,193 individuals/families as affected and the compensation was assessed at Rs.26,82,02,328/= for the period 12.8.1991 to 31.12.1998 in respect of 15,164.96 hectares in 186 villages in 7 Taluks of the District and in the said Award, the Authority has made it clear that the liability of the polluting industries to compensate affected individuals continues beyond 31.12.1998 till the damage caused to the ecology and environment by pollution is reversed. The aforesaid Award particularly with reference to apportionment of the compensation came to be challenged in W.P.No.512 of 2002 and the very validity of the Notification dated 13.9.1996, appointing the said Authority, was questioned by the petitioner in W.P.No.7015 of 2000 and a Division Bench of this Court has disposed of the writ petition by order dated 22.3.2002 by giving direction to the present petitioner and the tanners to make payment of compensation in instalments. While the matter stood thus, the Vellore Citizens Welfare Forum, the present second respondent herein, has filed W.P.No.23291 of 2006 fo
