SC Upholds NGT Order, Chennai Builder To Pay ₹5.5 Crores For Environmental Violations

The Supreme Court upheld the order of NGT that had directed a Chennai-based private builder company, Purvankara Projects, to pay ₹5.5 crores for violating environmental laws.

The Apex Court observed that compensation is awarded for both non-compliance and damage to the environment.

The Supreme Court bench, comprising Justice Sanjiv Khanna and Bela M. Trivedi, heard an appeal against the Chennai bench of the National Green Tribunal (NGT) judgment.

The Supreme Court directed Purvankara Projects to deposit ₹5.5 crores with the Tamil Nadu Pollution Control Board by October 30, 2023. The company is also required to comply with the directions issued in the impugned judgment using its own resources. The pollution control board must file a status report by January 31, 2024.

The court strongly remarked that the company had committed multiple violations and had taken advantage of the situation. It emphasized the need for the company to bring its actions into compliance with environmental guidelines.

Previously, in 2008, Puravankara Projects Limited obtained environmental clearance for the construction of a residential apartment complex named Provident Cosmo City at Pudupakkam in Chengalpet, consisting of 1,184 units. However, it was alleged that Purvankara Limited had violated environmental laws. Despite the directive to suspend environmental clearance for the project, the company proceeded with construction and completed it.

The sewage treatment plant (STP) established for the approved capacity of 1,184 units was being used for an expanded project, causing pollution. Moreover, the location of the STP did not comply with the siting criteria provided by the Tamil Nadu Pollution Control Board. Consequently, Purvankara Ltd. was liable to pay environmental compensation of ₹5,50,00,000. The applicant, Arvind Kumar Agarwal, filed a review petition regarding certain objections, which were rejected by a Joint Committee formed by the NGT. Following the rejection, the applicant approached the Supreme Court, while Purvankara Ltd. appealed against the NGT judgment imposing the fine.