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2025 Supreme(Online)(NGT) 1774

NATIONAL GREEN TRIBUNAL NEW DELHI (PRINCIPAL BENCH)
MR. PRAKASH SHRIVASTAVA, CJ, MR. SUDHIR AGARWAL, J, DR. A. SENTHIL VEL, ACJ, DR. AFROZ AHMAD, ACJ
LAKSHMI W/o Shankar Lal – Appellant
Versus
STATE OF UTTAR PRADESH – Respondent
ORIGINAL APPLICATION NO.612/2024



Advocates:
Mr. Rahul Khurana, Mr. Hasil Jain, Mr. Shaim Hasan, Ms. Farha Khan, Mr. Ishan Sharma
Mr. Ankit Verma, Mr. Pradeep Misra, Mr. Daleep Dhyani, Mr. Rahul Kumar

The principle of absolute liability applies to hazardous activities, making entities fully responsible for damages caused by negligence in safety compliance.

Headnote:(A) National Green Tribunal Act, 2010 - Sections 14, 15, and 17 - Incident involving a factory boiler explosion causing the death of two individuals and injuries to three - The incident occurred due to gross negligence of the management of the factory, failing to follow Standard Operating Procedures - The Tribunal emphasizes the ‘absolute liability’ principle concerning hazardous activities, and holds the respondent liable for compensation to victims based on negligence - For deaths, compensation is awarded at Rs.20 lakhs each, and for injuries at Rs.5 lakhs per person. (Paras 1-41)

(B) Health and Safety Standards - The Tribunal found violations of safety measures including lack of safety equipment, monitoring systems, and adherence to operational procedures, refuting claims of compliance post-incident. (Paras 2-3, 35)

(C) Policy Implications - The judgment affirms the duty of the State to ensure safety regulations in hazardous employment environments, questioning the efficacy of respondent's compliance and the adequacy of the ESI Act as compensation mechanisms in the context of industrial accidents. (Paras 6, 39-41)

Facts of the case:
The case arises from a factory explosion during which two workers died and three were injured due to alleged negligence and violations of safety protocols by the factory management. A settlement to pay compensation was dishonored. (Paras 1-4, 39)

Findings of Court:
The court finds respondent liable for compensating victims under the principle of absolute liability due to negligence. The court ordered compensation to the families of the deceased and the injured. (Paras 32-39)

Issues: The issues addressed include the application of absolute liability, the appropriateness of compensation levels, and compliance to environmental and safety regulations within hazardous industries. (Paras 21, 22, 33)

Ratio Decidendi: The court established that liability arises regardless of fault in hazardous activities, reinforcing that entities must ensure compliance with safety standards and may be held liable for failures thereof. (Paras 33-34, 36-39)

Result: The Tribunal awarded Rs.20 lakhs to the dependants of each deceased and Rs.5 lakhs to each injured person, mandating payment within one month, with adjustments made for prior partial payments. (Paras 40-41)

Table of Content
1. incident involving fatalities and injuries. (Para 1 , 2)
2. management's compliance modifications after inspection. (Para 3)
3. violation of safety standards at industrial unit. (Para 4 , 5)
4. legal obligations concerning workers' compensation. (Para 14 , 17 , 19 , 20)
5. interpretation of compensation claims under existing statutes. (Para 15 , 16 , 29 , 30)
6. determination of compensation amounts for victims. (Para 37 , 39)
7. final order for compensation payment. (Para 40 , 41 , 42 , 43)

ORDER

BY HON’BLE MR. JUSTICE SUDHIR AGARWAL, JUDICIAL MEMBER

1. The victims of an incident wherein, a blast-occurred in a factory boiler (reactor) resulting in death of 02 persons and severe injuries to 03 persons have come up before this Tribunal by means of the present Original Application (hereinafter referred to as ‘OA’) invoking its jurisdiction under Sections 14 , 15 and 17 of National Green Tribunal Act, 2010 (hereinafter referred to as ‘NGT Act, 2010’). Two persons died in the incident are Shankar Lal, son of Vijay Pal and Pravin Kumar, son of Chatru. The persons injured in the incident are Sainky, Sohan Pal and Dinesh. Applicant-1 (Lakshmi) is wife of Shankar Lal (deceased) and applicant-2 (Chatru) is father of Pravin Kumar (deceased). Applicants-3, 4 and 5 are three injured persons who have approached this Tribunal for claiming compensation on account of the damage/injury suffered by them.

2. The facts in brief disclosed in the OA are that M/s. Durga Enterprises, khasra no. 757/1 and 762/2, village-Masoori, Fitkari Road, Meerut through its partners Deepak Jain and Amit Jain, is an industrial unit engaged in the manufacture of rubber oil, tyre oil and black carbon etc. through Pyrolysis or scraped tyres. The process of manufacturing of oil through Pyrolysis process causes high level of pollution and adversely affects health of the workers involved in the process. M/s. Durga Enterprises (hereinafter referred to as ‘industrial unit’) has been operating in violation of the Standard Operating Procedure (hereinafter referred to as ‘SOP’) prescribed by Ministry of Environment, Forest and Climate Change (hereinafter referred to as ‘MoEF&CC’) and Central Pollution Control Board (hereinafter referred to as ‘CPCB’). A boiler explosion took place on 27.02.2024 in the premises of the industrial unit causing death of Shankar Lal and Pravin Kumar and serious injuries to applicants-3, 4 and 5. The unit was operating without any fixed timing of opening of vaults of boiler, without maintaining any register for maintenance for operating of boiler and even the register of workers was not maintained. There was no provision of temperature and pressure monitoring inside the boiler and it used to be opened in untimely manner even before cooling of gases showing gross negligence on the part of the management. There was no provision for masks and other equipments for safety of workers and proper handling of chemicals. Two deceased who were present to collect black carbon etc. from the boiler immediately died, when the boiler exploded. The deceased were working in the industrial unit for earning their livelihood. After the incident, Assistant Director Factories, Meerut Division and Labour Enforcement Officer, Meerut Division inspected premises of the industrial unit on 04.03.2024 and found that the incident happened due to failure in ensuring explosive limit of Pyro gas which came in contact with Oxygen and other gases in environment when few bolts of boiler were open. On mixture with outer gases, explosion took place in boiler causing death of Shankar Lal and Pravin Kumar and injuries to applicants-3, 4 and 5 who opened the bolts of boiler and in the process, got injured. Assistant Director Factories and Labour Enforcement Officer, Meerut Division found following major violations:

“I) Absence of Inspection register

J) On the said day of explosion, the boiler was opened 2 hours before the prescribed time

K) Absence of sensor to monitor the limit of

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