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2025 Supreme(Online)(MP) 1240

HIGH COURT OF MADHYA PRADESH
SHRI JUSTICE SURESH KUMAR KAIT, CJ, SUSHRUT ARVIND DHARMADHIKARI, J, SHRI JUSTICE VIVEK JAIN, J
Anand – Appellant
Versus
The State Of Madhya Pradesh – Respondent
WP 26802/2018



Advocates:
Sachin Parmar,Advocate General

The exemption of forest produce from regulatory provisions must be justified by compelling circumstances and is subject to periodic review to prevent environmental degradation.

Headnote:(A) Forest Act, 1927 - Section 41(3) - Forest Conservation Act, 1980 - Notification dated 24.09.2015 exempting 62 species of forest produce from regulatory provisions challenged - Court held that the exemption was issued without adequate justification and was manifestly arbitrary, violating Articles 14, 21, and 48A of the Constitution - The State failed to demonstrate compelling circumstances for such a broad exemption, leading to illegal deforestation and exploitation of forest resources. (Paras 121, 112, 111, 110, 109)

(B) Judicial Review - The power of exemption under Section 41(3) is inherently transient and must be periodically reviewed to ensure it does not lead to environmental degradation - The Court emphasized the necessity of a High Powered Committee to assess the impact of exemptions on forest cover. (Paras 121, 118, 117, 116)

Facts of the case:
The State of Madhya Pradesh issued a notification exempting 62 species of forest produce from regulatory provisions, which led to widespread illegal logging and environmental degradation. The exemption was challenged in court, leading to a review of its legality and necessity. (Paras 1-5, 100-102)

Findings of Court:
The Court found the exemption notification to be ultra vires the provisions of the Forest Act and unconstitutional, as it failed to consider the impact on forest cover and was issued without proper research or justification. (Paras 121, 112)

Issues: The main issues included the validity of the exemption notification, the necessity for periodic review of exemptions, and the impact of such exemptions on forest conservation. (Paras 16, 121)

Ratio Decidendi: The Court ruled that the State must act as a trustee of natural resources and cannot issue blanket exemptions without demonstrating compelling reasons; the power to exempt is not permanent and must be reviewed regularly. (Paras 121, 112, 111)

Result: The impugned notification dated 24.09.2015 and subsequent amendments were quashed, and the State was directed to conduct a study on the impact of exemptions on forest cover. (Paras 121, 112)

ORDER

Per: Hon'ble Shri Justice S.A.Dharmadhikari

A. BACKGROUND FACTS LEADING TO PRESENT REFERENCE TO FULL BENCH

1. The State of Madhya Pradesh, in exercise of powers available under Sec. 41(3) issued the impugned Gazette notification on 24.09.2015, through which around initially 53 species of forest produce (used interchangeably for trees & plants) were exempted from the operation of the rigours of regulatory provisions under the Transit Rules. This notification initially comprised 53 species of forest produce, which included a large number of those species, which are stated to be present in abundance in the dense forests of Madhya Pradesh in various districts. Subsequently through another notification dated 11.04.2017, the aforesaid notification was amended to exclude another 9-10 species of forest produce from the rigours of Transit Rules.

2. A writ petition came to be instituted before the Indore Bench of this Court titled as ‘Anand vs State of M.P. and Ors.’ (W.P. No. 26802/ 2018), laying challenge to the impugned notification dated 24.09.2015 exempting 53 species. In the said writ petition, when the State failed to file a reply timely, this Court stayed the operation and effect of impugned notification dated 24.09.2015. Subsequently, however on application for modification instituted at the instance of certain parties (private paper mills), the aforesaid stay order was modified subsequently vide dated 14.08.2019, permitting the applicant paper mill company to transit the forest-produce required for production of the finished materials (paper and paper products) in the same fashion as it was being done earlier prior to the issuance of the impugned notification.

3. Subsequently in a separate writ petition instituted before the Principal seat of this Court (Vivek Kumar Sharma v. The State of Madhya Pradesh & Ors., WP No. 13864 of 2019), vide its order dated 12.04.2022, a similar challenge was laid to the impugned exemption notification. In view thereof vide its order dated 12.04.2022, writ petition pending before the Indore Bench was transferred to this Court, with the direction for analogous hearing of all the writ petitions. Resultantly before us are the following writ petitions for consideration, all of which revolve around the validity or interpretation of impugned notification dated 24.09.2015 : W.P. No. 26802/ 2018 (Anand v. State of M.P. and Ors.), W.P. No. 13864 of 2019 (Vivek Kumar Sharma v. The State of Madhya Pradesh & Ors.).

4. A Division Bench of this Court, presided by Hon'ble the then Chief Justice vide its order dated 04.12.2024 posted the present dispute for consideration before the larger Bench, in view of order dated 13.01.2016 passed by the Indore Bench of this Court in an earlier petition styled as WP No. 7491/ 2015, relying upon the orders and directions of the Hon’ble Supreme Court in T.N. Godavarman Thirumulpad v. Union Of India & Ors., AIR 1997 SC 1228.

5. Pertinently in the aforesaid order dated 13.01.2016 passed by the Division Bench, the validity of impugned notification was never delved into nor adjudicated on merits. Thus the present reference is constituted squarely for determining the constitutionality and validity of the impugned notification dated 24.09.2015. The Court shall also examine the validity of amending notification issued subsequently to the impugned notification in April 2017, wherein 9 more species of trees/ forest produce were included over and above 53 species, taking the tally of exempted species to '62 species'. Though the amending notification of April 2017 has not been challenged, however since the original notification is assailed, it will torpedo the amending notification if quashed by this Court.

A pond equals ten wells, a reservoir equals ten ponds, A son equals ten reservoirs, and a tree equals ten sons !!!

- Extracted from Verse No. 512, Chapter 154 of Matsya Purana. A tree therefore is stated to give life to ten families.

***

"The damages due to climate

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