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National Green Tribunal

Sou Motu Action On The News Regarding ... vs State Of Madhya Pradesh on 29 January, 2025

   Item No. 04

                   BEFORE THE NATIONAL GREEN TRIBUNAL
                       CENTRAL ZONE BENCH, BHOPAL
                        (Through Video Conferencing)
                          Original Application No. 20/2024(CZ)
                           (I.A.No.25/2024) (I.A.No.150/2024)
                            (I.A.No.15/2025) (I.A.No.16/2025)


   Suo Moto action on the News
   regarding blast in the fire cracker
   factory in Harda District of
   Madhya Pradesh on 06.02.2024

                                                                            Suo Moto.....
                                           Vs.

   State of M.P. & Ors.                                                  Respondent(s)

   Date of Hearing: 29.01.2025

   CORAM: HON'BLE MR. JUSTICE SHEO KUMAR SINGH, JUDICIAL MEMBER
          HON'BLE DR. AFROZ AHMAD, EXPERT MEMBER



       For Applicant(s):                None.

       For Respondent(s) :              Dr. Sapna Agarwal, Adv.
                                        Mr. Prashant M. Harne, Adv.
                                        Mr. Ajay Gupta, Sr. Adv.
                                        (with Mr. Parag Gupta, Adv.
                                        Mr. Ashish Jaiswal, Adv.)
                                        Mr. Om Shankar Shrivastava, Adv. Mr.
                                        Yadvendra Yadava, Adv.
                                        Ms. Parul Bhadoria, Adv.
                                        Ms. Avani Bansal, Adv.
                                        Ms. Harshita Tejwani, Adv.
                                        Ms. Parika Singh, Adv.
                                        ADM, Harda

                                      ORDER

1. The proceedings are further initiated in light of the order of Hon'ble the High Court passed in Writ Petition No. 5160/2024 with regard to disbursement of compensation in case of death and injuries and damage to houses caused due to unfortunate incident of fire in factory of 1 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

firecrackers in village Bairagarh of the district Harda in Madhya Pradesh.

There are categories of cases of death, grievous injuries, simple injuries, burnt houses, houses which have been evacuated.

2. In light of the order of Hon'ble the High Court, the amount of compensation in ratio of the order passed by this Tribunal and affirmed by the Hon'ble High Court and in continuation of the order of the Hon'ble High Court have been paid to the family of the deceased to the relevant account and have been verified by the district administration.

3. Now, the question of disbursement of the compensation to the members of the family of grievous injuries, simple injuries, burnt houses and houses which have been evacuated are to be taken. The district administration has constituted a committee of experts' members to assess the actual damage for the repairing of the houses in ratio to the valuation as per Collector's guideline against the built-up area and damage cost to the building in ratio of percentage of the damage. Since, the damage against the deceased which is annexure R-1 has been paid, thus the matter with regard to the payment of compensation against the deceased persons are disposed of and closed.

4. Now, there are categories of house damage in which the calculation has been filed by the six members committee of the district administration including the experts and is annexed at R-2 and there is a list annexed at R-3 containing the reasonable amount of compensation to be paid to the injured.

5. Learned counsel for the respondent-project proponent has filed the objections raising the question that the determination of compensation was not based on any methodology or calculation awarding initial compensation based on undefined parameters and reliance has been 2 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

placed in Ajay Kumar Negi v. Union of India, O.A. No. 183 (THC)/2013 and further that amount of compensation is to be calculated in accordance with Suo moto W.P. (Criminal) No. 122/2011 or a reasonable compensation assessed by the expert body. It is further submitted that the Hon'ble Supreme Court of India in Manish Jalan v. State of Karnataka AIR 2008 Hon'ble Supreme Court 3074 has minimized the amount of compensation and thus the prayer is to calculate the environmental compensation according to the actual damage.

6. It is further alleged and contended that there were victims who were actually present on the site of incident and there are another category who went there out of their curiosity after the incident and some suffered injuries due to blast on the site and document were prepared but in some of the cases the documents are not or they are anti-timed. Thus, nature and extent of loss caused to determine the compensation should be just a compensation.

7. In light of above contentions, the district administration was directed on previous date to find out a reasonable solution with copy to the opposite parties and opposite party has to file an objection on individual cases but the chart submitted by the district administration/state government with the aid and assistance of experts in the field has not been anyway objected by the respondent specifically item wise.

8. Learned counsel for the State of Madhya Pradesh Mr. Prashant M. Harne and learned counsel for the State Pollution Control Board Ms. Parul Bhadoria have submitted that the incident took place due to carelessness, negligence and violation of environmental laws by the respondent-project proponent and reasonable compensation with interest 3 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

is required to be paid by the violator of law on the principle of polluter to pay.

9. If the respondents-project proponent establish and operate their plant or unit contrary to law, flouting all safety norms provided by law, district administration and the State PCB is bound to act and it cannot be said that the district administration or the State PCB are acting out of animus or adopting a hostile attitude. Repeated and persistent violations call for repeated orders that is no proof of hostility. Moreover, the reports submitted by the State Administration and the State PCB are fully corroborated and affirmed by the expert report on account of the respondents continuous, persistent and insolent violations of the law and their non-implementation of the orders and the rules. The unit has earned the dubious distinction of being characterized as rough unit.

10. They have inflicted untold misery upon the poor, unsuspecting villagers, despoiling their land, houses, tin shed, huts and entire environment and all in pursuit of private profit. The unit cannot say that there is no pollution or cannot be absorbed from the obligation to pay the damages caused to the private individuals against the death injuries and damage to the houses and for eco-restoration with damage caused to the life and health of the people as well as their property in the past. The polluters respondents recklessly destroyed the environment, surface and underground water and the soil and killed fruit trees, animals and vegetation apart from causing suffering and irreparable damages to the lands, property, life and health of the people in flagrant violation of environmental laws and direction given by various authorities including Hon'ble the Supreme Court and this Tribunal.

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O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

11. The civil and criminal liability upon the respondents for the environmental crimes, irreparable damages caused to the environment, flora and fauna, life, health and property of innocent people living in the city and the area and surrounding villages cannot be condoned at any ornamental arguments. In several cases of environmental pollution, the courts have ordered for the payment of damages by the errant industries/individuals responsible for causing pollution in violation of environmental related issues and the money recovered be spent for remediation or eco-restoration and damages be paid to the victims or spent for their benefit. It is the duty of the government to ensure proper administration of this fund in a transparent and accountable manner.

12. The establishment of such a fund would ensure that polluters take responsibility for their action and that moneys derived from penalties, damages and settlement are directly invested towards remediating the environmental damages that has occurred.

13. The Public Liability Insurance Act, 1991 makes it mandatory for industries handling hazardous material to be insured against environmental hazards. However, the legislation only provides relief to person affected by accidents while handling hazardous materials who are most likely to be workers.

14. Members of the local community who are adversely affected by hazardous industries are also entitled for the reasonable compensation against the life and property in case of damage.

15. The maxim, 'interest Republicae ut sit finis litium' says that it is for the public good that there be an end of litigation after a long hierarchy of appeals. It is rare that in an adversarial system, despite the courts are doing their best, one or more parties may remain unsatisfied with the 5 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

most correct decision. Opening door for a further appeal could be opening a flood gate which will cause more wrongs in the society at large at the cost of rights.

16. The controversy between the parties must come to an end at some stage and the judgment of the Tribunal or the Court must be permitted to acquire finality. It would hardly be proper to permit the parties to file application after application endlessly. In a State governed by the rule of law, finality of the judgment is absolutely imperative and great sanctity is attached to the finality of the judgment. Permitting the parties to reopen the concluded judgments or orders by filing the repeated interlocutory applications is clearly an abuse of the process of law and would have far reaching adverse impact on the administration of justice on the cost of injured and deceased.

17. Hon'ble the Supreme Court of India in M. Nagabhushana v. State of Karnataka and others (2011) 3 SCC 408 on the principle of finality and on the principle of public policy observed as under:-

"That principle of finality of litigation is based on high principle of public policy. In the absence of such a principle great oppression might result under the color and pretence of law inasmuch as there will be no end of litigation and a rich and malicious litigant will succeed in infinitely vexing his opponent by repetitive suits and actions. This may compel the weaker party to relinquish his right. The doctrine of res judicata has been evolved to prevent such an anarchy. That is why it is perceived that the plea of res judicata is not a technical doctrine but a fundamental principle which sustains the rule of law in ensuring finality in litigation. This principle seeks to promote honesty and a fair administration of justice and to prevent abuse in the matter of accessing court for agitating on issues which have become final between the parties."
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O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

18. Constitution Bench judgment in M.C. Mehta and Another v. Union of India and Others (1987) 1 SCC 395 popularly known as Oleum Gas Leak Case, it was held :-

"We are of the view that an enterprise which is engaged in a hazardous or inherently dangerous industry which poses a potential threat to the health and safety of the persons working in the factory and residing in the surrounding areas owes an absolute and non-delegable duty to the community to ensure that no harm results to anyone on account of hazardous or inherently dangerous nature of the activity which it has undertaken. The enterprise must be held to be under an obligation to provide that the hazardous or inherently dangerous activity in which it is engaged must be conducted with the highest standards of safety and if any harm results on account of such activity, the enterprise must be absolutely liable to compensate for such harm and it should be no answer to the enterprise to say that it had taken all reasonable care and that the harm occurred without any negligence on its part. Since the persons harmed on account of the hazardous or inherently dangerous activity carried on by the enterprise would not be in a position to isolate the process of operation from the hazardous preparation of substance or any other related element that caused the harm the enterprise must be held strictly liable for causing such harm as a part of the social cost for carrying on the hazardous or inherently dangerous activity. If the enterprise is permitted to carry on an hazardous or inherently. dangerous activity for its profit, the law must presume that such permission is conditional on the enterprise absorbing the cost of any accident arising on account of such hazardous or inherently dangerous activity as an appropriate item of its overheads. Such hazardous or inherently dangerous activity for private profit can be tolerated only on condition that the enterprise engaged in such 7 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
hazardous or inherently dangerous activity indemnifies all those who suffer on account of the carrying on of such hazardous or inherently dangerous activity regardless of whether it is carried on carefully or not....We would therefore hold that where an enterprise is engaged in a hazardous or inherently dangerous activity and harm results to anyone on account of an accident in the operation of such hazardous or inherently dangerous activity resulting for example, in escape of toxic gas the enterprise is strictly and absolutely liable to compensate all those who are affected by the accident and such liability is not subject to any of the exceptions which operate vis-`-vis the tortuous principle of strict liability under the rule in Ryland v. Fletcher (1868) LR 3 HL 330. We would also like to point out that the measure of compensation in the kind of cases referred to in the preceding paragraph must be corelated to the magnitude and capacity of the enterprise because such compensation must have a deterrent effect. The larger and more prosperous the enterprise, the greater must be the amount of compensation payable by it for the harm caused on account of an accident in the carrying on of the hazardous or inherently dangerous activity by the enterprise."

19. The court in M.C. Mehta's case (supra) further observed as under:-

31. "We must also deal with one other question which was seriously debated before us and that question is as to what is the measure of liability of an enterprise which is engaged in an hazardous or inherently dangerous industry, if by reason of an accident occurring in such industry, persons die or are injured. Does the rule in Rylands v. Fletcher apply or is there any other principle on which the liability can be determined? The rule in Rylands v. Fletcher was evolved in the year 1866 and it provides that a person who for his own purposes brings on to his land and collects and keeps there anything 8 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

likely to do mischief if it escapes must keep it at his peril and, if he fails to do so, is prima facie liable for the damage which is the natural consequence of its escape. The liability under this rule is strict and it is no defence that the thing escaped without that person's wilful act, default or neglect or even that he had no knowledge of its existence. This rule laid down a principle of liability that if a person who brings on to his land and collects and keeps there anything likely to do harm and such thing escapes and does damage to another, he is liable to compensate for the damage caused. Of course, this rule applies only to non-natural user of the land and it does not apply to things naturally on the land or where the escape is due to an act of God and an act of a stranger or the default of the person injured or where the thing which escapes is present by the consent of the person injured or in certain cases where there is statutory authority. Vide Halsbury Laws of England, Vol. 45 para 1305. Considerable case law has developed in England as to what is natural and what is non-natural use of land and what are precisely the circumstances in which this rule may be displaced. But it is not necessary for us to consider these decisions laying down the parameters of this rule because in a modern industrial society with highly developed scientific knowledge and technology where hazardous or inherently dangerous industries are necessary to carry out part of the developmental programme, this rule evolved in the 19th Century at a time when all these developments of science and technology had not taken place cannot afford any guidance in evolving any standard of liability consistent with the constitutional norms and the needs of the present day economy and social structure. We need not feel inhibited by this rule which was evolved in this context of a totally different kind of economy. Law has to grow in order to satisfy the needs of the fast changing 9 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

society and keep abreast with the economic developments taking place in the country. As new situations arise the law has to be evolved in order to meet the challenge of such new situations. Law cannot afford to remain static. We have to evolve new principles and lay down new norms which would adequately deal with the new problems which arise in a highly industrialised economy. We cannot allow our judicial thinking to be constricted by reference to the law as it prevails in England or for the matter of that in any other foreign country. We no longer need the crutches of a foreign legal order. We are certainly prepared to receive light from whatever source it comes but we have to build up our own jurisprudence and we cannot countenance an argument that merely because the law in England does not recognise the rule of strict and absolute liability in cases of hazardous or inherently dangerous activities or the rule as laid down in Rylands v. Fletcher as is developed in England recognises certain limitations and exceptions. We in India must hold back our hands and not venture to evolve a new principle of liability since English courts have not done so. We have to develop our own law and if we find that it is necessary to construct a new principle of liability to deal with an unusual situation which has arisen and which is likely to arise in future on account of hazardous or inherently dangerous industries which are concomitant to an industrial economy, there is no reason why we should hesitate to evolve such principle of liability merely because it has not been so done in England."

20. The Court applied the principle of Polluter pays and observed thus:-

"The polluter pays principle demands that the financial costs of preventing or remedying damage caused by pollution should lie with the undertakings which cause 10 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
the pollution, or produce the goods which cause the pollution. Under the principle it is not the role of government to meet the costs involved in either prevention of such damage, or in carrying out remedial action, because the effect of this would be to shift the financial burden of the pollution incident to the taxpayer. The 'polluter pays' principle was promoted by the Organisation for Economic Co- operation and Development [OECD] during the 1970s when there was great public interest in environmental issues. During this time there were demands on government and other institutions to introduce policies and mechanisms for the protection of the environment and the public from the threats posed by pollution in a modern industrialised society. Since then there has been considerable discussion of the nature of the polluter pays principle, but the precise scope of the principle and its implications for those involved in past, or potentially polluting activities have never been satisfactory agreed."

21. In the case of M.C. Mehta v. Kamal Nath and others (2000) 6 SCC 213, the court observed as under:

"...pollution is a civil wrong. By its very nature, it is a tort committed against the community as a whole. A person, therefore, who is guilty of causing pollution, has to pay damages (compensation) for restoration of the environment and ecology. He has also to pay damages to those who have suffered loss on account of the act of the offender. The powers of this court under Article 32 are not restricted and it can award damages in a PIL or a Writ Petition as has been held in a series of decisions. In addition to damages aforesaid, the person guilty of causing pollution can also be held liable to pay exemplary damages so that it may act as a deterrent for others not to cause pollution in any manner."
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O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

22. Having regard to the respondent's conduct in the present case, it would be reasonable to impose an additional pecuniary penalty on them.

Reliance is placed on Minister for the environment and Heritage v.

Greentree (No.3) [2004] FCA 1317, wherein the Federal Court imposed a pecuniary penalty against the respondents totaling $450,000 for having illegally cleared declared a Ramsar wetland. A strong factor contributing to the imposition of a substantial penalty was because the actions of the respondent were deliberate, sustained and serious, they took place over a substantial period of time and the respondents did not exhibit any contrition.

23. The court in Alok Shanker Pandey vs Union of India & Others (2007) 3 SCC 545 observed as under:-

"We are of the opinion that there is no hard and fast rule about how much interest should be granted and it all depends on the facts and circumstances of the each case. We are of the opinion that the grant of interest of 12% per annum is appropriate in the facts of this particular case. However, we are also of the opinion that since interest was not granted to the appellant along with the principal amount the respondent should then in addition to the interest at the rate of 12% per annum also pay to appellant interest at the same rate on the aforesaid interest from the date of payment of instalments by the appellant to the respondent till the date of refund on this amount, and the entire amount mentioned above must be paid to the appellant within two months from the date of this judgment.
It may be mentioned that there is misconception about interest.
Interest is not a penalty or punishment at all, but it is the normal accretion on capital.
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O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

24. To do complete justice, prevent wrongs, remove incentive for wrongdoing or delay, and to implement in practical terms the concepts of Time Value of Money, restitution and unjust enrichment noted above - or to simply levelise - a convenient approach is calculating interest. But here interest has to be calculated on compound basis - and not simple - for the latter leaves much uncalled for benefits in the hands of the wrongdoer.

Further, a related concept of inflation is also to be kept in mind and the concept of compound interest takes into account, by reason of prevailing rates, both these factors, i.e., use of the money and the inflationary trends, as the market forces and predictions work out.

25. Some of our statute law provide only for simple interest and not compound interest. In those situations, the courts are helpless and it is a matter of law reform which the Law Commission must take note and more so, because the serious effect it has on administration of justice.

However, the power of the court to order compound interest by way of restitution is not fettered in any way. We request the Law Commission to consider and recommend necessary amendments in relevant laws.

26. Compound interest' is defined in Black's Law Dictionary, Eighth Edition (Bryan A. Garner) at page 830 as `Interest paid on both the principal and the previously accumulated interest.' It is a method of arriving at a figure which nears the time value of money submitted under Head-2 earlier.

27. As noted, compound interest is a norm for all commercial transactions.

28. Graham Virgo in his important book on `The Principles of the Law of Restitution" at pp 26-27 has stated and relevant portion is reproduced as under:-

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O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
"In Westdeutsche Landesbank Girozentrale v London Borough Council 1996 A.C. 669 the issue for the House of Lords was whether compound interest was available in respect of all restitutionary claims. By a majority it was decided that, since the jurisdiction to award compound interest was equitable, compound interest could only be awarded in respect of equitable restitutionary claims. Consequently, where the claim was for money had and received the claimant could only obtain simple interest because this was a common law claim. The majority supported their conclusion by reference to a number of different arguments. In particular, they asserted that, since Parliament had decided in 1981 that simple interest should be awarded on claims at common law, it was not for the House of Lords to award compound interest in respect of such claims. But the Supreme Court Act 1981 does not specifically exclude the award of compound interest in respect of common law claims. Rather, it recognizes that the court can award simple interest for such claims. The equitable jurisdiction to award compound interest is still available in appropriate cases.
In two very strong dissenting judgments, Lords Goff and Woolf rejected the argument of the majority. They asserted that, since the policy of the law of restitution was to remove benefits from the defendant, compound interest should be available in respect of all restitutionary claims, regardless of whether they arise at law or in equity. This argument can be illustrated by the following example. In the straightforward case where the claimant pays money to the defendant by mistake and defendant is liable to repay that money, the liability arises from the moment the money is received by the defendant, who has the use of it and so should pay the claimant for the value of that benefit. This was accepted by all the judges in the case. The difficulty relates to the valuation of this benefit. If the defendant was to borrow an equivalent amount of money from a financial institution, he or she would be liable to pay compound interest to that institution. It follows that the 14 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
defendant has saved that amount of money and so this is the value of the benefit which the defendant should restore to the claimant, in addition to the value of the money which the defendant received in the first place. If it could be shown that, had the defendant borrowed the equivalent amount of money, the institution would only have paid simple interest, it would be appropriate for the interest awarded to the claimant to be simple rather than compound. Usually, however, the interest awarded in commercial transactions will be compound interest."

29. In Marshall sons and company (I) Limited v. Sahi Oretrans (P) Limited and another (1999) 2 SCC 325 the court in para 4 of the judgment observed as under:-

"...It is true that proceedings are dragged for a long time on one count or the other and, on occasion, become highly technical accompanied by unending prolixity at every stage providing a legal trap to the unwary. Because of the delay, unscrupulous parties to the proceedings take undue advantage and a person who is in wrongful possession draws delight in delay in disposal of the cases by taking undue advantage of procedural complications. It is also a known fact that after obtaining a decree for possession of immovable property, its execution takes a long time. In such a situation, for protecting the interest of the judgment-creditor, it is necessary to pass appropriate orders so that reasonable mesne profit which may be equivalent to the market rent is paid by a person who is holding over the property. In appropriate cases, the court may appoint a Receiver and direct the person who is holding over the property to act as an agent of the Receiver with a direction to deposit the royalty amount fixed by the Receiver or pass such other order which may meet the interest of justice. This may prevent further injury to the plaintiff in whose favour the decree is passed and to protect the property including further alienation. ..."
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30. In Ouseph Mathai and others v. M. Abdul Khadir (2002) 1 SCC 319 the court reiterated the legal position that the stay granted by the court does not confer a right upon a party and it is granted always subject to the final result of the matter in the court and at the risk and costs of the party obtaining the stay. After the dismissal, of the lis, the party concerned is relegated to the position which existed prior to the filing of the petition in the court which had granted the stay. Grant of stay does not automatically amount to extension of a statutory protection.

31. The court in South Eastern Coalfields Limited v. State of M.P. and others (2003) 8 SCC 648 on examining the principle of restitution in para 26 of the judgment observed as under:-

"In our opinion, the principle of restitution takes care of this submission. The word "restitution" in its etymological sense means restoring to a party on the modification, variation or reversal of a decree or order, what has been lost to him in execution of decree or order of the court or in direct consequence of a decree or order (see Zafar Khan v. Board of Revenue, U.P - (1984) Supp SCC 505) In law, the term "restitution" is used in three senses: (i) return or restoration of some specific thing to its rightful owner or status; (ii) compensation for benefits derived from a wrong done to another; and (iii) compensation or reparation for the loss caused to another."

32. The court in para 28 of the aforesaid judgment very carefully mentioned that the litigation should not turn into a fruitful industry and observed as under:

"... ... ...Litigation may turn into a fruitful industry. Though litigation is not gambling yet there is an element of chance in every litigation. Unscrupulous litigants may feel encouraged to 16 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
approach the courts, persuading the court to pass interlocutory orders favourable to them by making out a prima facie case when the issues are yet to be heard and determined on merits and if the concept of restitution is excluded from application to interim orders, then the litigant would stand to gain by swallowing the benefits yielding out of the interim order even though the battle has been lost at the end. This cannot be countenanced. We are, therefore, of the opinion that the successful party finally held entitled to a relief assessable in terms of money at the end of the litigation, is entitled to be compensated by award of interest at a suitable reasonable rate for the period for which the interim order of the court withholding the release of money had remained in operation."

33. The court in the aforesaid judgment also observed that once the doctrine of restitution is attracted, the interest is often a normal relief given in restitution. Such interest is not controlled by the provisions of the Interest Act, 1839 or 1978.

34. In a relatively recent judgment of the court in Amarjeet Singh and others v. Devi Ratan and others (2010) 1 SCC 417 the court in para 17 of the judgment observed as under:

"No litigant can derive any benefit from mere pendency of case in a court of law, as the interim order always merges in the final order to be passed in the case and if the writ petition is ultimately dismissed, the interim order stands nullified automatically. A party cannot be allowed to take any benefit of its own wrongs by getting an interim order and thereafter blame the court. The fact that the writ is found, ultimately, devoid of any merit, shows that a frivolous writ petition had been filed. The maxim actus curiae neminem gravabit, which means that the act of the court shall prejudice no one, becomes applicable in such a case. In such a fact situation the court is under an obligation to undo the wrong done to a party by the 17 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
act of the court. Thus, any undeserved or unfair advantage gained by a party invoking the jurisdiction of the court must be neutralised, as the institution of litigation cannot be permitted to confer any advantage on a suitor from delayed action by the act of the court. ... ..."

35. In another recent judgment of the court in Kalabharati Advertising v.

Hemant Vimalnath Narichania and others (2010) 9 SCC 437 this court in para 15 observed as under:

"No litigant can derive any benefit from the mere pendency of a case in a court of law, as the interim order always merges into the final order to be passed in the case and if the case is ultimately dismissed, the interim order stands nullified automatically. A party cannot be allowed to take any benefit of his own wrongs by getting an interim order and thereafter blame the court. The fact that the case is found, ultimately, devoid of any merit, or the party withdrew the writ petition, shows that a frivolous writ petition had been filed. The maxim actus curiae neminem gravabit, which means that the act of the court shall prejudice no one, becomes applicable in such a case. In such a situation the court is under an obligation to undo the wrong done to a party by the act of the court. Thus, any undeserved or unfair advantage gained by a party invoking the jurisdiction of the court must be neutralised, as the institution of litigation cannot be permitted to confer any advantage on a party by the delayed action of the court."

36. In consonance with the concept of restitution, it was observed that courts should be careful and pass an order neutralizing the effect of all consequential orders passed in pursuance of the interim orders passed by the court. Such express directions may be necessary to check the 18 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

rising trend among the litigants to secure the relief as an interim measure and then avoid adjudication on merits.

37. In consonance with the principle of equity, justice and good conscience judges should ensure that the legal process is not abused by the litigants in any manner. The court should never permit a litigant to perpetuate illegality by abusing the legal process. It is the bounden duty of the court to ensure that dishonesty and any attempt to abuse the legal process must be effectively curbed and the court must ensure that there is no wrongful, unauthorized or unjust gain for anyone by the abuse of the process of the court. One way to curb this tendency is to impose realistic costs, which the respondent or the defendant has in fact incurred in order to defend himself in the legal proceedings. The courts would be fully justified even imposing punitive costs where legal process has been abused. No one should be permitted to use the judicial process for earning undeserved gains or unjust profits. The court must effectively discourage fraudulent, unscrupulous and dishonest litigation.

38. The court's constant endeavour must be to ensure that everyone gets just and fair treatment. The court while rendering justice must adopt a pragmatic approach and in appropriate cases realistic costs and compensation be ordered in order to discourage dishonest litigation. The object and true meaning of the concept of restitution cannot be achieved or accomplished unless the courts adopt a pragmatic approach in dealing with the cases.

39. The court in case Ramrameshwari Devi and Others v. Nirmala Devi and Others 2011(6) Scale 677 had an occasion to deal with similar questions of law regarding imposition of realistic costs and restitution. One of us 19 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

(Bhandari, J.) was the author of the judgment. It was observed in that case as under:-

"While imposing costs we have to take into consideration pragmatic realities and be realistic what the defendants or the respondents had to actually incur in contesting the litigation before different courts. We have to also broadly take into consideration the prevalent fee structure of the lawyers and other miscellaneous expenses which have to be incurred towards drafting and filing of the counter affidavit, miscellaneous charges towards typing, photocopying, court fee etc. The other factor which should not be forgotten while imposing costs is for how long the defendants or respondents were compelled to contest and defend the litigation in various courts. The appellants in the instant case have harassed the respondents to the hilt for four decades in a totally frivolous and dishonest litigation in various courts. The appellants have also wasted judicial time of the various courts for the last 40 years."

40. Learned counsel for the respondent Mr. Ajay Gupta has submitted that the procedure for payment of compensation, jurisdiction in accordance with the provisions contained in Section 14, 15 and 19 (4)(1) of the NGT Act, 2010 be followed and respondent should be given an opportunity of hearing with filing objection to the claim as submitted by the administration/respondents.

41. Under section 15(1) of the National Green Tribunal Act, 2010 the Tribunal has the power to grant relief and compensation to the victims of environmental damage. In terms of sub-section (2) of section 15, the relief and compensation and restitution of property and environment referred in various sub-clauses of sub-section (1) is in addition to the relief paid or payable under the Public Liability Insurance Act, 1991.

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Under section 17(1) of the NGT Act, where death of, or injury to, any person (other than a workman) or damage to any property or environment results from an accident or the adverse impact of an activity or operation or process, under any of the scheduled enactment, the person responsible is liable to pay such relief or compensation for such death, injury or damage, under all or any of the heads specified in Schedule II, as determined by the Tribunal. Schedule II of NGT Act includes death, permanent, temporary, total or partial disability or other injury or sickness. It also covers medical expenses incurred for treatment of injuries or sickness and expenses incurred by the Government or any local authority in providing relief, aid and rehabilitation to the affected persons.

42. The Tribunal in OA No. 885/2022, In re: News item in India TV dated 02.12.2022 titled "Chhattisgarh: Seven dead as part of limestone mine collapse in Bastar Village" vide order dated 17.05.2023 has considered in detail the issue of awarding compensation to the victims of mining accident. In that order, the Tribunal has also considered the judgment on the issue of awarding compensation to the family members of deceased persons on account of illegal mining attracting the Principle of Absolute Liability. The Tribunal in the above matter in this regard has held as under:-

"7. It is clear from the report that death of six persons has taken place due to collapse of soil bed in the course of excavation of soil. The report mentions that accident site area has been fenced with sign board of restricted area. The excavation activities are prohibited in the area.
8. Though the Committee has failed to identify the violator, there is no dispute that death is in the course of illegal 21 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
excavation. There is a failure on the part of State machinery in preventing such hazardous activities and also identifying the persons undertaking such activities. In such situation, there is no reason to deprive the heirs of the deceased from just compensation to be paid by the State with liberty to recover the same from violators. While primary liability for such deaths is of the persons undertaking illegal excavation activities, State cannot avoid its responsibility for safety of human lives for failure of its vigilance and regulatory mechanism. It appears that acknowledging this responsibility, the State has given some amount of compensation i.e. Rs. 4 lakhs in respect of each death which cannot by any standard be considered to be adequate. Even on adhoc basis and in absence of particulars of loss of earning, compensation in such cases has to be atleast Rs. 20 lakhs for each death.This is the view taken by this Tribunal in number of cases, including vide order dated 28.03.2023 in OA No. 204/2023, In re:News item published in Newspaper The Hindu dated 07.03.2023 titled "Three children die during illegal mining in West Bengal". The Tribunal held:
"xxx .................................xxx.......................................xxx 5.
The Tribunal has dealt with number of cases of deaths and injuries to victims by failure to follow environmental norms and enforce right to environment which is part of right to life, heirs of the deceased and the victims have been held entitled to compensation on the principle of absolute liability arising out of doing hazardous commercial activity. Though such liability basically is of violator of law, where law violator is not made to pay compensation, the State has also been held to be liable to pay compensation as per its duty as welfare State to protect the citizen and also for failure to take steps to protect the citizens against hazardous illegal activities to prevent which is duty of the State. The Tribunal has acted consistently with parens patriae duty of the State in terms of 22 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
law laid down inter alia in MCD v. Uphaar Tragedy Victims Association, (2011) 14 SCC 481 and Vadodra Municipal Corporation v. Purshottam v. Murjani & Ors. (2014) 16 SCC
14. Some of the observations from Supreme Court judgements are:
"T.N. Centre for Public Interest Litigation v. State of T.N., (2017) 6 SCC 734 The State stands on the position of a loco parentis to the citizens and when there are so many deaths of farmers in the State of Tamil Nadu, it becomes obligatory on the part of the State to express concern and sensitiveness to do the needful and not allow the impecunious and povertystricken farmers to resign to their fate or leave the downtrodden and the poor to yield to the idea of fatalism. The concept is alien in the welfare State and the social justice which is required to be translated in a democratic body polity. As is manifest from the assertions and the grievances that have been agitated, deaths are due to famine backdrop and other natural causes and also due to immense financial problem. The State, as the guardian, is required to see how to solve these problems or to meet the problems by taking curative measures treating it as a natural disaster. Silence is not the answer.
MCD v. Uphaar Tragedy Victims Assn., (2011) 14 SCC 481 The law is well settled that a constitutional court can award monetary compensation against the State and its officials for its failure to safeguard fundamental rights of citizens but there is no system 23 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
or method to measure the damages caused in such situations Compensatory damages are intended to provide the claimant with a monetary amount necessary to recoup/replace what was lost, since damages in tort are generally awarded to place the claimants in the position he would have been in, had the tort not taken place; which are generally quantified under the heads of general damages and special damages. Punitive damages are intended to reform or to deter the wrongdoer from indulging in conduct similar to that which formed the basis for the claim. Punitive damages are not intended to compensate the claimant which he can claim in an ordinary private law claim in tort. Punitive damages are awarded by the constitutional court when the wrongdoer's conduct was egregiously deceitful."

6. We may also refer to some earlier orders of the Tribunal dealing with industrial and other accidents on account of violation of environmental norms in the State of West Bengal1, where the Tribunal awarded compensation to the victims. Some extract from order dated 18.12.2020 in O.A. No. 272/2020, News item published in the "Times of India" dated 20.11.2020 entitled "Six killed as blast tears through Malda Plastic recycling factory" is reproduced below:-

"xxx..............................xxx..............................xxx
6. The Tribunal dealt with the issue by requiring payment of compensation to the victims, restoration of environment and adopting suitable safety measures to avoid such recurrence in the light of Expert Committee reports. In the present case, the State PCB has acknowledged that the activity was illegal and the unit has now been found to be demolished. This cannot be sufficient step for enforcement of law and for remedy to the victims.
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The Tribunal fixed minimum interim compensation in such cases at Rs. 15 Lakhs in case of death, Rs. 5 Lakhs in case of serious injury and Rs. 2.5 Lakhs for simple injuries as follows2: "6. ... we assess interim compensation for death to be 15 lacs each (taking into account multiplier of around 16 and loss of earning of about one lac a year, taking the minimum wage, apart from conventional sums), for grievous injury Rs. 5 lac per person, for other injuries of persons hospitalized Rs. 2.5 lac per person and for displacement at Rs. 25000/- per person."

7. The State is under obligation to secure atleast this amount of compensation to the victims and if it is not able to do so, the State must pay this much amount of compensation out of its own funds, with liberty to recover the same from the persons responsible for the situation. 8. Accordingly, we direct the District Magistrate, Malda to give compensation in above terms to the victims within three months out of the State funds, excluding the amount already paid. It will be open to the District Magistrate to recover the amount from the concerned violators by taking coercive measures, as per law. The victims will be at liberty to seek any other relief in appropriate proceedings. This direction is without prejudice to the criminal liability of the management and the operators of such activities."

7. In the present case, death of the children is patently due to violation of established norms. The State Authorities failed to enforce the law and prevent the incident. Apart from illegal engagement of children, the mining in the river bank is not shown to be by any Authority of Law, such as, mining lease, replenishment study, DSR and Environment Clearance. No safeguards have been used in the 25 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

process. Thus, the State cannot escape liability for violation of environmental norms. While primary liability is of the persons engaged in illegal mining on 'Absolute Principle' laid down in M.C. Mehta vs. Union of India & Ors., (1987) 1 SCC 395, when the violators have not been made to pay, it is the liability of the State to pay the compensation and recover the same from the violators. Liability for compensation is in addition to liability under the Criminal Law.

8. Further, vide order dated 11.06.2021 passed in O.A. No. 44/2021 titled as In re: News item published in The News Indian Express dated 12.02.2021 titled "At least 19 dead in Virudhunagar firecracker factory blast, more than 30 injured" the Tribunal held:-

"xxx...........................xxx................................xxx
9. ...Compensation can be assessed on reasonable basis guided by restitution principle atleast at floor level, leaving other remedies of the victims open. Thus, broadly agreeing with the Committee, we direct that the scale of compensation should be Rs.20 lakhs in respect of each of the deceased victims and Rs.15 lakhs to persons who have burns in excess of 50% and Rs.10 lakhs for persons who have burns from 25 to 50% and Rs.5 lakhs for persons who have injuries between 5 to 25%. Victims who were treated as outpatients and who had but minor degree of burns or other forms of simple injuries shall be paid Rs.2 lakhs."

9. The Tribunal had dealt with series of industrial and accidental matters directing environmental compensation for deceased and injured in recent past.

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10. In view of above, we direct the District Magistrate, Siliguri/Darjeeling to ensure payment of compensation @ ₹20 Lakh each to the heirs of the deceased and ₹5 Lakh to the injured, after deducting the amount already paid. The payment may be made within one month and make the violators accountable under Environmental Law be taken simultaneously at the earliest.

11. The State PCB may exercise its regulatory authority under the environmental laws - the Water (Prevention and Control of Pollution) Act 1974, the Air (Prevention and Control of Pollution) Act 1981, the Environment (Protection) Act and Rules 1986, in coordination with any other concerned authority."

9. Accordingly, we direct that the District Magistrate, Bastar may disburse further amount of Rs. 16 lakhs to the heirs of each of the deceased and Rs. 2 lakhs each to the injured within one month from today. It will be open to the District Magistrate to identify the violators and proceed against them in accordance with law, including for recovery of compensation. The State may review its vigilance and regulatory regime to prevent such incidents in future."

43. In the above matter, the Tribunal had awarded compensation of ₹20 lakhs to the family members of the deceased and ₹2 lakhs to the injured persons finding that the originally awarded compensation amount of ₹4 lakhs in respect of each death could not be considered to be adequate by 27 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

any standard, even on adhoc basis and in absence of particulars of loss of earning, compensation in such cases has to be at least ₹20 lakhs for each death. The Tribunal has also noted its earlier judgments taking the same view.

44. The Tribunal in OA No. 66/2022 in the matter of K. Saravanan v. State of Tamil Nadu, vide order dated 16.01.2023 had taken note of the norms of payment of compensation in para 7(b) as under:-

"...... b. Norms for compensation
1. The compensation that is payable for victims of the tragedy could never be arbitrary. The need to compensate or right to secure compensation could themselves be not a matter of debate at all. Only the scale of compensation and the persons who would become liable to pay the compensation will require to be appraised.
2. There are several compensation regimes for deaths and injuries and different enactments which are dis-similar and grossly variant. The Workmen Compensation Act, which is surely applicable, provides compensation that will have scales of compensation determined on the age and the income of the workman. The liability shall be on the principal employer. Here the problem is that the licensee has subleased the premises to three different persons whom we have named above but have not gathered statements from any one of them since they appear to be in judicial custody after arrest, pending investigation into criminal offences instituted against them.
3. The Public Liability Insurance Act casts an absolute liability, caps the entitlement to a paltry sum of Rs.50,000/-
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for death and Rs.25,000/- for grievous injury. It cannot be efficacious to look for relief under the said Act.
4. The scales of compensation under different enactments for transport accidents as in Carriage by Air Act, Railways & Motor Vehicles Act are different. In the first three enactments set out, there is absolute liability and the compensation ranges between Rs.8 lakhs and Rs.15 lakhs. The Motor Vehicles Act contemplates three regimes: absolute liability under Section 140, prescribing Rs.2 lakhs for death, Rs.50,000/- for grievous injuries and compensation up to Rs.800,000/- under a structured formula of strict liability norm under Section 163A. Just compensation under Section 166 is what is most scientific and driven essentially through two decisions in Sarla Varma Vs. DTC - (2009) 6 SCC 121 and as modified by National Insurance Company Vs. Pranay Sethi - (2017) 16 SCC 680. The compensation is determined based on a multiplier formula which will be applied against the multiplicand that is quantified as the likely contribution to the family by the deceased victim. The conventional heads of claims, such as, loss to estate, loss of love and affection, loss of consortium towards spouse, funeral expenses are all added. In the amendment contemplated by Amendment Act 32 of 2019, the minimum threshold amount that will become payable shall be not less than Rs.5 lakhs for fatal accident and Rs.2 lakhs for grievous injuries.
5. In traumatic accidents such as bomb blasts or fire accidents due to electrocution or terrorist activities, public law remedies have been resorted to, where the compensation shall not always be made to depend on the age of the victims and the number of dependents. They are invariably fixed sums within the broad age brackets, such as persons less than 20 years of age and above the said age limit. In MCD Vs. Uphaar Tragedy Victims Association -
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(2011) 14 SCC at page 481 - the compensation was fixed at Rs.10 lakhs in the case of those aged more than 20 years and Rs.7.5 lakhs to those aged less than 20 years and compensation of Re.1 lakh was awarded to each of the injured victims. The amount carried interest at 9%.

6. In Dabwali Fire Tragedy Victims Vs. Union of India & Others, a Division Bench of the P & H High Court provided compensation by examining the recommendations of the One-man Commission that elicited details about the age of the victims, the number of dependents of each of them, the income of the deceased persons, in amounts ranging between Rs.1 lakh and Rs.15 lakhs. The decision of the Division Bench passed in CWP 13214 of 1996 through its decision on 09.11.2009, was confirmed by the decision of the Supreme Court in - (2013) 10 SCC at page 494. In Sanjay Gupta v State of UP (2015)5 SCC 283, the Supreme Court was dealing with an incident of devastating fire that broke out in a Consumer Show held at Victoria Park, Meerut. It was organised by a private company through contractors engaged by them after seeking permission from the State Government. It resulted in death of 64 persons and grievous injuries to several others. The Commission of Enquiry found the State and its authorities to be prima facie responsible for statutory violations while granting permission and during the show. No doubt, in this case there was no violation of any law in the grant of licence, but there had been a lack of care to see that the premises had been used only by the persons who held the licence.

7. In Sanjay Gupta (Supra) the Supreme Court had taken note of the compensation awarded in Uphaar Tragedy Victims Association case, decided in 2011 as well as Dabwali fire tragedy case, decided in 2013. They observed that the State Government should see that the victims did not remain in a constant state of suffering and despair and 30 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

interim compensation of Rs.30 lakhs was directed to be paid, which subsequently through a direction issued in the same case and reported in (2018) SCC 634, to be distributed on pro-rata basis through the Jurisdictional District Judge.

8. There have been other earlier decisions of the Supreme Court when fixed sums have been awarded through public law remedy. In what was referred as boat tragedy case dealing with deaths of children due to boat capsize in MS Grewal Vs. Deep Chand Sood (2001) 8 SCC 151, the court awarded compensation at the rate of Rs 5 lakhs for each child and on the recommendations of former Chief Justice Chandrachud's report in Lata Wadhwa Vs. State of Bihar in (2001) 8 SCC at page 187-the compensation ranged between Rs.2 lakhs per child and an amount upto Rs.5 laksh per adult. To persons who had burn injuries to the extent of 10% or below, the Supreme Court awarded, in modification of the Chief Justice's Report, a minimum amount of Rs.2 lakhs.

9. In all the cases before us, we do not have data of the number of dependents for the deceased persons. In respect of injuries, a few have been treated as outpatients and immediately discharged while some persons are still undergoing treatment. The percentage of burns have varied from 5% to 75%. Unfortunately, among the injured victims, there have been casualties during the treatment, for on as late as 05.04.2021, the tally of dead was 27. In this accident, there is no report of any child as having been injured or dead. We confronted only a few persons who are injured and who are less than 18 years of age. We do not think it would be proper for us to assess compensation for everyone by eliciting the age, income, etc. It will be appropriate to take the examples of lumpsum amounts awarded through public law remedies and allow for 31 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

independent rights to be pursued by any victim through statutory forums prescribed under the Workmen Compensation Act, if so advised. The Workmen Compensation Act itself does not recognise any payment other than through the Commissioner and any compensation that we will recommend could be directed to be paid to the party under notice to the Workmen Compensation Commissioner so that they are not treated as amounts awarded by 'contracting out'. In the decisions which we have referred, the ex-gratia payment made by the government will not be required to be deducted. On the other hand, we believe that the State Government shall take responsibility for 10% of liability for lack of effective supervision through Inspector of Factories and 10% on the Central Government for their failure to implement the safety laws. Rest of the 80% shall be levied on the licensee and his lessees jointly and severally and the 10% each as we have fixed on the Central and State Governments shall be several. One of us, (Kulkarni) is of the view that on account of the quoted provision of immunity, the payment by the State and the Centre shall be by way of contribution in gratis rather than responsibility by default. Further, as per rule 2(37) of the aforesaid rules, the occupier who has the control and who is responsible for managing the affairs of premises is solely responsible for the accident for the violations of rules and conditions of the licence.

10. Taking note of the fact that in the Uphaar tragedy victims case the maximum compensation was Rs.10 lakhs, but it related to an incident that took place in 1997, almost 25 years back, we will double the compensation for death at Rs.20 lakhs per family of each of the deceased victims and Rs.15 lakhs to persons who have burns in excess of 50% and Rs.10 lakhs for persons who have burns from 25 to 50% and Rs.5 lakhs for persons who have injuries between 5 to 25%. Victims who were treated as outpatients 32 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

and who had but minor degree of burns or other forms of simple injuries shall be paid Rs.2 lakhs. The amounts shall be directed to be paid within the time the Tribunal may set and direct a further liability of interest at 12% p.a. for default of payment. The compensation is not merely a financial reparation for the loss of lives and injuries that have restitutive attributes but also designed to be punitive for the criminal negligence in carrying out hazardous activities in brazen violation of several laws that we have outlined above. The compensation amounts must necessarily therefore, be higher than what could occasion in a straightforward case of granting compensation as a welfare measure such as under the Workmen's (Employees') Compensation Act

11. The amounts on the same scales could be made also to victims of accidents in the same district just before and after our visit XIII. REMEDIAL MEASURES TO PREVENT ACCIDENTS Sl. Activity At whose instance No.

1. Video clips of safety through Central Government-

whatsApp and mobile devices Explosives experts apart from periodical workshops State government- imparting norms of safety to be Industrial safety circulated to all employees

2. Strict vigilance to ensure PESO and District conformity as regards working Revenue Authority only in sheds and not in open spaces

3. Drone surveillance of various PESO and District sheds Revenue Authority

4. Submit the compliance of the Manufacturer/ occupier once in a six months or Licensee quarterly basis and mandated to be uploaded on the public domain on the website of the respective regulatory agency.

5. Permanent closure of sheds Licensing authority which have in the past been found guilty of breaches.

6. Punitive fines of not less than Licensing authority 33 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

Rs. 50 lacs for instances of violations of conditions of license such as grant of lease, sublease, employment of more personnel than authorised, use of banned chemicals etc

7. Public liability insurance for all Collector factories to be made obligatory.

8. Group insurance providing for Licensing authority higher compensation of not less than Rs. 5,00,000 than the limit hitherto observed for Rs.

50,000.

9. Existing manpower of the Central government various regulatory authorities to State Government be strengthened in order to have periodical post clearance monitoring and ensure better compliance

10. Defaulting industries need to be Revenue Division of immediately inventoried and the Collectorate regulated within a time frame

11. Firecrackers' manufacturing Tamil Nadu Pollution and bulk storage facilities under Control Board the ambit of Consent Management within specified time frame as mandated

12. Fire-fighting facilities such as State Fire Services dry powder extinguisher, soda ash, limestone etc. are in place to handle the accident in the Fireworks Industry/metal-

based fire accident.

13. Provision for appropriate Licensee clothing, gloves, and footwear

14. Increased automation that Industrial avoids physical handling of Entrepreneurs/Dept. dangerous chemicals and of Industries & substances Commerce

15. Through CSR funds of the Licensing authorities industries located in the district, For MSMEs & more focus should be given to Factories Ministry of the development of education to Commerce/Company the local communities and their Affairs upliftment.

16. Crisis Management System and Central Government, Co-ordination Committee State Government constituted shall meet and District Collector periodically and review effective monitoring mechanism and suggest measures for prevention and recurrence of such accidents.

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17. As per section 9B of Explosive Legislature Act 1884 punishment for certain offences given is very moderate.

The same requires legislative review for greater stringency.

18. Since the unit in which the The respective accident occurred is no more in licensing authorities a state to take manufacturing activity, the licence granted by PESO,NOC granted by District Authorities, Arms Act license for sulphur, factories Act license shall be cancelled.

19. The workers who are engaged Licensees/ in most hazardous operations employers viz. mixing, filling of chemicals, colour pellets making shall be certified after training and those alone shall be employed. The unit shall not functional unless these workers are certified.

20. To monitor the ambient air Tamil Nadu Pollution quality in all clusters of firework control Board factories, minimum of two Continuous Ambient Air Quality Stations shall be installed, through which impact on environment due to incidental explosion can be quantified.

45. On the basis of above versions, Principal Bench of this Tribunal in OA No. 604/2023(PB) took the cognizance of the matter in Hussain Ahamad Vs. State of Up & Ors. and vide order dated 18.04.2024 ordered as follows :-

"Having regard to the criteria which has been laid down by the orders of the Tribunal and considering the fact that in the present case also death of five children has taken place on account of the drowning in the pits dugup by the respondent nos. 5 & 6 while illegally extracting soil beyond the permissible limit, the said respondent nos. 5 & 6 are liable to pay compensation to the extent of ₹20 lakhs to the family members of each deceased children and ₹2 lakhs to the injured. In the incident involving the respondent no. 5, 35 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
M/s Maa Bhagwati Brick Kiln, three children had died, therefore, respondent no. 5 is liable to pay compensation of ₹ 20 lakh to family members of each deceased children. In the incident involving the respondent no. 6, M/s. Shree Ram Brick Kiln, two children had died. M/s. Shree Ram Brick Kiln has provided ₹1 lakh compensation each to the family of two deceased children, therefore, now it is liable to pay ₹19 lakhs each to the family members of each deceased children.
We are to direct that in terms of the above judgement, the amount will be disbursed at the first instance by the State Government then it will be open to the State Government to recover the same from the respondent nos. 5&6, respectively."

46. In the matter of suo moto and jurisdiction of NGT was taken up by Hon'ble Supreme Court of India in the case Municipal Corruption of Greater Mumbai vs. Ankita Sinha & Ors. Civil Appeal Nos. 12122- 12123/2018 dated 07.10.2021 and held that the NGT has jurisdiction to take suo moto cognizance. The history and relevant part of the order are quoted below :-

"'Prima facie', says Halsbury, 'no matter is deemed to be beyond the jurisdiction of a superior court unless it is expressly shown to be so, while nothing is within the jurisdiction of an inferior court unless it is expressly shown on the face of the proceedings that the particular matter is within the cognizance of the particular court [Halsbury's Laws of England, Vol. 9, p. 349] '.
13.2 The precursor to the NGT Act was the 186 Report of the Law Commission of India dated 23.9.2003 where the Law Commission had made the following pertinent observation 36 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
espousing the case for the creation of a specialized Court to deal with environmental issues:-
"It is true that the High Court and Supreme Court have been taking up these and other complex environmental issues and deciding them. But, though they are judicial bodies, they do not have an independent statutory panel of environmental scientists to help and advise them on a permanent basis. They are prone to apply principles like the Wednesbury Principle and refuse to go into the merits. They do not also make spot inspections or receive oral evidence to see for themselves the facts as they exist on ground. On the other hand, if Environmental Courts are established in each State, these Courts can make spot inspections and receive oral evidence. They can receive independent advice on scientific matters by a panel of scientists.
These Environmental Courts need not be Courts of exclusive jurisdiction. However, the High Courts, even if they are approached under Art. 226 either in individual cases or in PIL cases, where orders of environmental authorities could be questioned, may refuse to intervene on the ground that there is an effective alternative remedy before the specialist H. Environmental Court. As of now, when we have consumer Courts at the District and State level, the High Courts have consistently refused to entertain writ petitions under Art. 226 because parties have a remedy before the fora established under the Consumer Protection Act, 1986. We have also the example of special environmental courts in Australia, New Zealand and in some other countries and these are manned by Judges and expert commissioners. The Royal Commission in UK is also of the view that 37 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
if environmental courts are established, the High Courts may refuse to entertain applications for judicial review on the ground that there is an effective alternative remedy before these Courts. It is for the above reasons we are proposing the establishment of separate environmental courts in each State. In Chapter IX, we propose to give the details of the constitution, power and jurisdiction of these Courts."

13.4 The NGT, therefore, was intended to be the competent forum for dealing with environmental issues instead of those being canvassed under the writ jurisdiction of the Courts. It was explicitly noted that the creation of the NGT would allow for the Supreme Court and High Court to avoid intervening under their inherent jurisdiction when an alternative efficacious remedy would become available before the specialized forum. The 186th Law Commission Report provided the following reasoning, "Likewise, we have not thought it fit to enable the Environmental Courts, to have judicial review powers exercised by the High Court under Art. 226 of the Constitution of India. We have felt that it is sufficient to vest original civil jurisdiction as exercisable by a Civil Court, in the Environmental Courts. If we vest powers of Judicial review as under

Art. 226, then there may be need to subject the orders to the writ jurisdiction of High Courts as held in L. Chandra Kumar vs. Union of India, 1997 (3) SCC 261.
No doubt, the Environment Court exercising powers of a Civil Court or as an appellate 38 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

Court in civil jurisdiction, may be technically amenable to writ jurisdiction of the High Court but inasmuch as we are providing an appeal to the Supreme Court, the High Courts may decline to interfere on the ground that there is an effective alternative remedy of appeal on law and fact to the Supreme Court, as explained later in this Chapter1,"

Thus, the power of judicial review was omitted to ensure avoidance of High Courts interference with the Tribunal's orders by way of a mid-way scrutiny by the High Court, before the matter travels to the Supreme Court where NGT's orders can be challenged. The streamlining of the C mechanism was to arrest the growing tide of litigation before High Courts and the Supreme Court and shift such issues to the domain of the NGT.
13.5 This is how the proposed forum was made free from the rules of evidence and the NGT was permitted to lay down its own procedure to entertain oral and documentary evidence, consult experts D etc. The observance of the principles of natural justice was however mandated II. PREAMBLE & STATEMENT OF OBJECTS AND REASONS 14.1 The Statement of Objects and Reasons of the NGT Act will now require attention.
1
Chapter II, 186th Law Commission Report.
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Paras 2,3,4,5 and 6 of the Statement of Objects and Reasons being relevant are extracted hereinbelow:-
"2. India party to the decisions taken at the United Nations is a Conference on the Human Environment held at Stockholm in June, 1972, in which India participated, calling upon the States to take appropriate steps for the protection and improvement of the human environment. The United Nations Conference on Environment and Development held at Rio de Janeiro in June, 1992, in which India participated, has also called upon the States to provide effective access to judicial and administrative proceedings, including redress and remedy, and to develop National laws. regarding liability and compensation for the victims of pollution and other environmental damage.
3. The right to healthy environment has been construed as a part of the right to life under article 21 of the Constitution in the judicial pronouncement in India.
4. The National Environment Tribunal Act, 1995 was enacted to A provide for strict liability for damages arising out of any accident occurring while handling any hazardous substance and for the establishment of a National Environmental Tribunal for effective and expeditious disposal of cases arising from such accident, with a view to giving relief and compensation for damages to persons, B property and the 40 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
environment. However, the National Environment Tribunal, which had a very limited mandate, was not established. The National Environment Appellate Authority Act, 1997 was enacted to establish the National Environment Appellate Authority to hear appeals with respect to restriction of areas in which any industries, operations or processes or class of industries, operations C or processes shall not be carried out or shall be carried out subject to certain safeguards under the Environment (Protection) Act, 1986.
The National Environment Appellate Authority has a limited workload because of the narrow scope of its jurisdiction.
5. Taking into account the large number of environmental 1) cases pending in higher courts and the involvement of multidisciplinary issues in such cases, the Supreme Court requested the Law Commission of India to consider the need for constitution of specialize specialized environmental courts. Pursuant to the same, the Law Commission has recommended the setting up of environmental courts having both original and appellate jurisdiction E relating to environmental laws.
6. In view of the foregoing paragraphs, a need has been felt to establish a specialized tribunal to handle the multidisciplinary issues involved in environmental cases. Accordingly, it has been decided to enact a law to provide for the establishment of the National F Green Tribunal for effective and 41 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
expeditious disposal of civil cases relating to environmental protection and conservation of forests and other natural resources including enforcement of any legal right relating to environment."

14.2 A reading of the Statement of Objects and Reasons shows that paragraph 4 thereof refers to the National Environmental Tribunal Act, 1995 (NET) which provided for strict liability and damages arising out of accidents occurring while handling hazardous substances. In the same context it was observed that the NET had a very limited and narrow mandate and jurisdiction. Thereafter, in Para 5 it has been recorded that a large number of environmental cases are pending in higher Courts which involve multi-disciplinary issues and, in such cases, the Supreme Court had requested the Law Commission of India to consider the need for constitution of specialized environmental Courts.

14.3 Significantly, the Statement of Objects and Reasons also refers. to right to a healthy environment being a part of the right to life under B Article 21 of the Constitution of India. This was consistent with the carlier mentioned 186th Law Commission Report highlighting that the body so created, would aim to "achieve the objectives of Article 21. 47, 48.A. SIA (g) of the Constitution of India by means of a fair, fast and satisfactory judicial procedure". An institution concerned with a significant aspect of right to life 42 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

necessarily should be given the most liberal construction.

14.5 The United Nations Conference on Environment and Development held at Rio De Janeiro in June, 1992 where India participated, impressed upon the States to provide effective access to judicial and administrative proceedings, lay out redress and remedy and to develop national laws regarding liability and compensation for the victims of pollution and other environmental damage. The Preamble of the Act significantly emphasized on construing the right to healthy environment as a part of the Right to Life under Article 21 of the Constitution which was accepted by various judicial pronouncements in G India. The National Green Tribunal was born in our country with such lofty dreams to deal with multi-disciplinary issues, relating to the environment.

III. THE NEED FOR PURPOSIVE INTERPRETATION 15.1 While adequate clarity is discernible in the phraseology that is employed under Section 14 and other provisions of the NGT Act, as shall be discussed in later parts of the judgement, the intention behind the statute should receive our careful attention. Tracing the legislative history for creation of the NGT it is seen that the NGT is intended to address wide ranging societal concerns and these have prompted us to opt for purposive interpretation. The Statue will have to be 43 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

read in its entirety and each provision of the Act must be given its due meaning by comprehending the mischief it intends to remedy. The chosen interpretive exercise is best understood from the treatise Interpretation of Statutes, authored by Justice GP. Singh who explained thus, "When the question arises as to the meaning of certain provision in statute, it is not only legitimate but proper to read that provision in its context. The context here means, the statute as a whole, the previous state of the law, other statutes in pari materia, the general scope of the statute, and the mischief that it was intended to remedy. This statement of the rule was later fully adopted by the Supreme Court.

It is a rule now firmly established that the intention of the Legislature must be found by reading the statute as a whole. The rule is referred to as an elementary rule' by Viscount Simonds: a compelling rule by Lord Sommervell of Harrow; and a "settled rule"

by B.K. Mukherjee J. "I agree" said Lord Halsbury, "that you must look at the whole in order to give effect, if it be possible F to do so, to the intention of the framer of it."

IV. SALIENT STATUTORY FEATURES OF NGT ACT-

16.1 Applying the chosen tool of interpretation to the statutory layout of the NGT Act, following provisions will require the 44 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

Court's attention. Section 2(1)(c) of the NGT Act defines the term "environment"; Section 2(1)(m) defines "substantial question relating to environment". Chapter III relates to jurisdiction, power and proceedings of the Tribunal. The Section 14 gives original jurisdiction to the NGT to decide a substantial question relating to environment, Section 15 deals with relief, compensation and restitution whereby besides providing relief to the victims of pollution, the NGT can direct restitution of property damage D and restitution of environment for such area(s) "as the Tribunal may think fit Section 16 gives appellate jurisdiction to the Tribunal against the orders passed under various enactments. Section 17 provides for liability to pay relief or compensation a i in certain cases, Section 18 specifies who can move application/appeal before the Tribunal. It includes, among others, 18(2)(d) "any person aggrieved including any representative body/organization" and the locus standi is not limited only to the aggrieved party.

                   Section     19    provides       for     procedure       and
                   powers      of    the     Tribunal.       Section    19(1)

significantly says that the Tribunal shall not be bound by procedures laid down in the CPC and shall be bound by the Principles of Natural Justice. Section 19(2) provides that subject to the F provisions of the Act, the Tribunal shall have powers to regulate its own procedure. Section 19(3) mentions that the Tribunal shall not be bound by the rules of evidence contained in the Evidence Act, 1872. While discharging functions under 45 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

Section 19(4), besides summoning, enforcing attendance, examining persons on oath, requiring discovery and production of documents, receiving evidence on oath, the NGT also has powers to review its decision, to pass interim orders as well as pass cease and desist orders. Section 20 says that while adjudicating issues, the Tribunal shall apply the environmental principles, namely, sustainable development principles, precautionary principles and polluter pays principle. Under Section 25, the Tribunal can execute its order/decision as a decree of the Civil Court and for that purpose shall have all the powers of a Civil Court. Section 29 bars the jurisdiction of the Civil Court to entertain all environmental matters covered by the Tribunal. Under Section 33, the NGT Act has an overriding effect over other laws.

16.2 While on the statutory provisions, it is seen that the Central Government has framed the National Green Tribunal (Practice & Procedure) Rules, 2011 (for short "the NGT Rules"). For our purpose, Rule 24 is important which reads thus:

"24. Order and directions certain cases The Tribunal may make such orders or give such directions ax may be necessary or expedient to give effect to its order or to prevent abuse of its process or to secure the ends of justice.
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16.3 The said Rules make it clear that the NGT has been given wide discretionary powers to secure the ends of justice. This power is coupled with the duty to be exercised for achieving the objectives. The intention understandably being to preserve and protect the environment and the matters connected thereto.
16.4 By choosing to employ a phrase of wide import, ie, secure the ends of justice, the legislature has nudged towards a liberal E interpretation. Securing justice is a term of wide amplitude and does not simply mean adjudicating disputes between two rival entities. It also encompasses inter alia, advancing causes of environmental rights, granting compensation to victims of calamities, creating schemes for giving effect to the environmental principles and even hauling up Fauthorities for inaction, when need be.
16.5 Moreover, unlike the civil courts which cannot travel beyond the relief sought by the parties, the NGT is conferred with power of moulding any relief. The provisions show that the NGT is vested with the widest power to appropriate relief as may be justified in the facts and circumstances of the case, even though such relief may not be specifically prayed for by the parties.
16.6 Another distinguishing feature of the environmental forum is on the aspect of locus standi which was made as wide as is 47 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
                    available    to         the    High    Courts     and     the
                   Supreme      Court.           Thus,    any      person     or
organization who may be interested in the subject matter is permitted to approach the NGT.

17.4 The NGT is not just an adjudicatory body but has to perform wider functions in the nature of prevention, remedy and amelioration. This aspect was specifically flagged in the 186th Law Commission Report, "The Environment Court, in our view, must have power to frame schemes and monitor them and also have power to modify the schemes from time to time. If one looks at the problems raised in several cases and the directions issued by the Supreme Court, it will be observed that such a power is necessary to be vested in these Courts..... The Environment Court must be able to provide an "environmental solution" to grave problems like the one mentioned above and unless it has power to frame comprehensive schemes which will involve issuing directions to various departments, the solution cannot be implemented. Such a comprehensive jurisdiction is now being exercised both by the Supreme Court and High Courts. In our view, the proposed Courts must have similar powers. They will also have to monitor the schemes till they are successfully implemented on ground and, if necessary, modify the schemes from time to time."

17.4 The NGT is not just an adjudicatory body but has to perform wider functions in 48 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

the nature of prevention, remedy and amelioration. This aspect was specifically flagged in the 186th Law Commission Report, "The Environment Court, in our view, must have power to frame schemes and monitor them and also have power to modify the schemes from time to time. If one looks at the problems raised in several cases and the directions issued by the Supreme Court, it will be observed that such a power is necessary to be vested in these Courts..... The Environment Court must be able to provide an "environmental solution" to grave problems like the one mentioned above and unless it has power to frame comprehensive schemes which will involve issuing directions to various departments, the solution cannot be implemented. Such a comprehensive jurisdiction is now being exercised both by the Supreme Court and High Courts. In our view, the proposed Courts must have similar powers. They will also have to monitor the schemes till they are successfully implemented on ground and, if necessary, modify the schemes from time to time."

19.1 With the constitution of the NGT, many cases pending before the High Courts were transferred to the NGT. Apprehending the possibility of conflict between the High Courts and the NGT (in matters concerning environment and the statutes mentioned in Schedule I of the NGT Act), Justice Swatanter Kumar speaking for the three Judge Bench in 49 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

Bhopal Gas Peedith Mahila Udyog Sangathan vs. Union of India2. highlighted the NGT's role in the context, in the following words:-

"40. Keeping in view the provisions and scheme of the National Green Tribunal Act, 2010 (for short "the NGT Act") particularly Sections 14, 29, 30 and 38(5), it can safely be concluded that the environmental issues and matters covered under the NGT Act, Schedule I should be instituted and litigated before the National Green Tribunal (for short "NGT"). Such approach may be necessary to avoid likelihood of conflict of orders between the High Courts and NGT. Thus, in unambiguous terms, we direct that all the matters instituted after coming into force of the NGT Act and which are covered under the provisions of the NGT Act and/or in Schedule I to the NGT Act shall stand stand transferred and can be instituted only before NGT. This will help in rendering expeditious and specialised justice in the field of environment to all concerned.
21.1 Explaining the purpose for constituting the special court to deal with environmental issues, in Mantri Techzone (P) Ltd. vs. 2 (2012) 8 SCC 326 50 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
Forward Foundation3, Justice S. Abdul Nazeer writing for the three Judge Bench, made the following pertinent observations on the status of the NGT:-
"40. The Tribunal has been established under a constitutional mandate provided in Schedule VII List 1 Entry 13 of the Constitution of India, to implement the decision taken at the United Nations Conference on Environment and Development. The Tribunal is a specialised judicial body for effective and expeditious disposal of cases relating to environmental protection and conservation of forests and other natural resources including enforcement of any legal right relating to the environment. The right to healthy environment has been construed as a part of the right to life under Article 21 by way of judicial pronouncements. Therefore, the Tribunal has special jurisdiction for enforcement of environmental rights."

21.2. As can be seen from the quoted passage, this Court recognized that the NGT is set up under the constitutional mandate in Entry 13 of List I in Schedule VII to enforce Article 21 with respect to the environment and in the context observed that the Tribunal 3 (2019) 18 SCC 494 51 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

has special jurisdiction for enforcement of environmental rights.

21.3 Elaborating further, in paragraphs 44- 46, the Supreme Court expressed that the interpretation that is in favour of conferring jurisdiction should be preferred rather than one taking away jurisdiction. It was specifically noted that, "46.... As stated supra the typical nature of the Tribunal, its breadth of powers as provided under the statutory provisions of the Act. as well the Scheduled enactments, cumulatively, leaves no manner of doubt that the only tenable interpretation to these provisions would be to read the provisions broadly in favour of cloaking the Tribunal with effective authority. An interpretation that is in favour of conferring jurisdiction should be preferred rather than one taking away jurisdiction."

21.4 Such being the wide contour of the NGT's powers, the exposition in Rajeev Suri vs. DDA4 was not to constrict the suo motu powers of the NGT. To appreciate the implication of the ratio in Rajeev A Suri, it must be noticed that it was in the specific context of Merits Review and the NGT transgressing beyond its environmental 4 2021 SCC Online SC 7.

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mandate. This is why, one of us, Justice A.M. Khanwilkar observed that, "503. NGT is not a plenary body with inherent powers to address concerns of a residuary character. It is a statutory body with limited B mandate over environmental matters as and when they arise for its consideration. In a cause before it, NGT cannot directly go on to adjudicate on concerns of violation of fundamental rights and once the contours of a subject matter traverse the scope of appeal from a grant of FEC, the merits review by tribunal cannot traverse beyond the scope of jurisdiction vested in it by the statute.

23. During the course of its functioning, the NGT has been recognized as one of the most progressive Tribunals in the world. This jurisprudential leap has allowed our country to enter a rather exclusive group of nations which have set up such institutions with broad powers. To understand how the NGT is perceived globally, we may usefully refer C to the views of Chief Justice Brian Preston of the Land and Environment Court of NSW Australia, "The NGT is an example of a specialized court to better achieve the goals of ensuring access to 53 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

justice, upholding the rule of law and promoting good governance5."

38. A conjoint reading of Sections 14, 15 and the Schedules would lead one to infer that the NGT has circumscribed jurisdiction to deal with, adjudicate, and wherever needed, direct measures such as payment of compensation, or make restitutionary directions in cases where the violation (ie harm caused due to pollution or exposure to hazards, etc.) are the result of infraction of any enactment listed in the first schedule. Yet, that, interpretation, in the opinion of this court, is not warranted.

24.5 The NGT is a Tribunal with sui generis characteristic, with the special and all- encompassing jurisdiction to protect the environment. Besides its adjudicatory role as an a appellate authority, it is also conferred B with the responsibility to discharge role of supervisory body and to decide substantial questions relating to the environment. The necessity of having a specialized body, with the expertise to handle multi-dimensional environmental issues allows for an all-

encompassing framework for environmental justice. The technical expertise that may be required to address evolving environmental concerns would definitely require a flexible institutional mechanism for its effective exercise.

5

GILL, G. (2020). Mapping the Power Struggles of the National Green Tribunal of India: The Rise and Fall? Asian Journal of Law and Society,7(1), 85-126.

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IX. AUTHORITY WITH SELF-ACTIVATING CAPABILITY 25.1 Given the multifarious role envisaged for the NGT and the purposive interpretation which ought to be given to the statutory provisions, it would be fitting to regard the NGT as having the mechanism to set in motion all necessary functions within its domain and this, as would follow from the discussion below, should necessarily clothe it with the authority to take suo motu cognizance of matters, for effective discharge of its mandate.

25.2 The analysis for this segment should commence with Section 14 of the NGT Act and the same being of great relevance is being extracted hereunder,

14. Tribunal to settle disputes. -(1) The Tribunal shall have the jurisdiction over all civil cases where a substantial question relating to environment (including enforcement of any legal right relating to environment), is involved and such question arises out of the implementation of the enactments specified in Schedule 1.

(2) The Tribunal shall hear the disputes arising from the questions referred to in sub-section (1) and settle such disputes and pass G order thereon.

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(3) No application for adjudication of dispute under this section shall be entertained by the Tribunal unless it is made within a period of six months from the date on which the cause of action for such dispute first arose:

Provided that the Tribunal may, if it is satisfied that the applicant was prevented by sufficient cause from filing the application within the said period, allow it to be filed within a further period not exceeding sixty days."
25.3 The Section 14(1) of the NGT Act deals with jurisdiction, andthe jurisdictional provision conspicuously omits to specify that an application is necessary to trigger the NGT into action. In situations where the three prerequisites of Section 14(1) ic., Civil cases;
                involvement        of     substantial      question        of
                environment,        and     implementation         of   the
enactments in Schedule I are satisfied, the jurisdiction and power of the NGT gets activated. On these material aspects, the NGT is not required to be triggered into action by an aggrieved or interested party alone. It would therefore be logical to conclude that the exercise of power by the NGT is not circumscribed by receipt of application. When substantial questions relating to the environment arise and the issue is civil in nature and those relate to the enactments in Schedule 1 of the Act, the NGT in our opinion even in the absence of an application, can 56 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

self-ignite action either towards amelioration or towards prevention of harm 25.4 In the same spirit, we find merit in the arguments that Section 14(1) exists a standalone feature, constricted by the operational mechanism of the subsequent subsections. The sub Section (2) of Section E 14 functions as a corollary and comes into play when a dispute arises from the questions referred to in Section 14(1). Likewise sub Section (3) thereafter, refers to the period of limitation concerning applications, when they are addressed to the NGT. Where adjudication is in is involved, the adjudicatory function under Section 14(2) comes into play. When it a case warranting NGT's intervention, or may be a situation calling for decisions to meet certain exigencies, the functions under Section 14(1) can be undertaken and those may not involve any formal application or an adjudicatory process. However, the later provisions may not work in similar fashion. Therefore, care must be taken to ensure unrestricted discharge of the responsibilities under Section 14(1) and that wide arena of NGT's functioning.

25.5 The other pertinent provisions relating to, inter-alia, jurisdiction, interim orders, payment of compensation and review, do not require any application or appeal, for the NGT to pass necessary orders. These crucial powers are expected to be exercised by the NGT, would Hlogically suggest that the action orders of the NGT need not always involve any application or appeal. To hold otherwise would not only 57 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

reduce its effectiveness but would also defeat the legal mandate given to the forum.

25.6 It may also be relevant to bear in mind that while dealing with contested cases, the NGT is required to pass "award" and "order" and the statute repeatedly uses the word "decision. Therefore, it is appropriate to correlate the word "decision" to the NGT, in its non-adversarial or inquisitorialrole, as was suggested by the Law Commission and recognized in DG NHAI (supra).

25.7 The duty to safeguard Article 21 rights cannot stand on a narrow compass of interpretation. Procedural provisions must be allowed to fall in step with the substantive rights that are invoked in the environmental domain, in larger public interest. The specialized forum is bestowed with the responsibility to ensure protection of the environment. To be effective in its domain, need to ascribe to the NGT a public responsibility to initiate action when required, to protect the substantive right of a clean environment and the procedural law should not be obstructive in its application. In the context, Justice V.R. Krishna Iyer speaking for a Division Bench in State of Punjab & Anr. Vs. Shamlal Murari & Anr has so correctly prioritized the substantive rights and pbserved succinctly.

"8. We must always remember that processual law is not to be a tyrant but a servant, not an obstruction but an 58 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
aid to justice. It has been wisely observed that procedural prescriptions are the handmaid and not the mistress, a lubricant, not a resistant in the administration of justice."

25.8 While discussing the NGT's power and responsibility, it is essential to keep in mind the Principle 10 of the Rio Declaration which F speaks of three fundamental rights i.e., access to information, access to public participation and access to justice, as key pillars of environmental governance. Access to justice, may however be curtailed by illiteracy, lack of mobility, poverty or even the lack of technical knowledge on the part of citizens. Another deterrence is the likelihood of polluters/violators being powerful entities with adequate wherewithal to skirt regulations. Thus, it may not always be feasible for individuals to knock on the doors of the Tribunal, and NGT in such exigencies must not be made dysfunctional.

X. THE PRECAUTIONARY PRINCIPLE 26.1 Tracing the origin of the Precautionary Principle. Scott Lafranchi in his treatise6 has expounded on the proactive role of the authorities in the following passage:-

"Many consider the German development of Vorsorgeprinzip to 6 Scott LaFranchi, Surveying the Precautionary Principle's Ongoing Global Development: The Evolution of an Emergent Environmental Management Tool, 32 B.C. Envtl. Aff. L. Rev. 679 (2005) 59 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

signify the true creation of the precautionary principle, in light of the attention it focuses on "long term planning to avoid damage to the environment, early detection of dangers to health and environment through comprehensive research, and acting in advance of conclusive scientific evidence of harm. "16 The precautionary foundation of Vorsorgeprinzip has been described as an "action principle" that holds public authorities responsible for protecting the natural foundations of life and preserving the physical world for the present and future generations, and "can. therefore be used to counter the short-termism endemic in all democratic, consumption oriented societies."

26.2 The origin of the Precautionary Principle itself is rooted as an institutional obligation, by holding them primarily responsible for the environmental concerns and remedies.

26.3 As earlier seen, S.20 of the NGT Act which includes the term "decision", in addition to "order" and "award", also require the Tribunal to apply the Precautionary Principle and the statutory mandate being relevant is extracted:-

"20. Tribunal to apply certain principles. - The Tribunal shall, while passing any order or decisions or 60 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
                           award,          apply      the       principles          of
                          sustainable              development,                  the
                          precautionary            principle            and      the
                          polluter pays principle."


26.4 The principle set out above must apply in the widest amplitude to ensure that it is not only resorted to for adjudicatory purposes but also for other decisions or 'orders to govemmental authorities or polluters, when they fail to "to anticipate, prevent and attack the causes of environmental degradation7 Two aspects must therefore be emphasized ie. that the Tribunal is itself required to carry out preventive A and protective measures, as well as hold governmental and private authorities accountable for failing to uphold environmental interests. Thus, a narrow interpretation for NGT's powers should be eschewed to adopt one which allows for full flow of the forum's power within the environmental domain.
XL. ENVIRONMENTAL JUSTICE AND ENVIROMENTAL EQUITY 27.1 The conceptual frameworks of environmental justice and equity should merit consideration vis-à-vis the NGT's domain and how its functioning and decisions can have wide implications in socio-economic dimensions of people at large. The concept of environmental justice is a p trifecta of distributive justice, procedural justice and 7 Vellore Citizens (supra), S. Jagannathan v. Union of India (1997) 2 SCC 87, Karnataka Industrial Areas Development Board v. C Kenchappa and Ors (2006) 6 SCC 371.
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justice as recognition8. Environmental equity as a developing concept has focused on the disproportionate implications of environmental harms on the economically or socially marginalized groups. The concerns of human rights and environmental degradation overlap under this umbrella term, to highlight the human element, apart from economic and environmental ramifications. Environmental equity thus stands to ensure a balanced distribution of environmental risks as well as protections, including application of sustainable development principles.

27.3 There is also a need to focus on the interconnection between principles of procedural justice and distributive justice. The concern is to create a system which is affirmative enough to balance the disproportionate wielding of power between polluters and affected people.

"Environmental justice starts with distributive justice, or more accurately, distributive injustice. The rich and powerful derive the most benefit while suffering the least harm from environmentally harmful activities; conversely, the poor and minorities derive the least benefit but suffer the most harm Further, those who benefit cause harm to the places where people "live, work, play, and go to 8 Schlosberg D, Defining Environmental Justice: Theories, Movements, and Nature (Oxford University Press 2009) 62 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
school," whereas the people who reside there do little or nothing to harm their community9."

When substantive justice is elusive for a large segment, disengaging with substantive rights at the very altar, for a perceived procedural lacuna, would surely bring in a process, which furthers inequality, both economic and social.

An "equal footing" conception may not therefore be feasible to adequately address the asymmetrical relationship between the polluters and those affected by their actions. Instead, a recognition of the historical experience of marginalized classes of persons while accessing and effectively using the legal system, will allow for necessary appreciation of social realities and balancing the arm of justice.

28.2 By expanding the scope of Articles 21, 32, 48A, SIA(g), this Court has guaranteed the right to a pollution free environment for a holistic existence10. Most crucially, the expansion of Right to Life under Article 21 by this Court has become a touchstone to determine many environmental concerns. In Subhash Kumar Vs. State of Bihar, this Court explicitly held the following, "Right to life fundamental right under Article 21 of the Constitution and it includes the right 9 Jeff Todd, A "Sense of Equity" in Environmental Justice Litigation, 44 HARV. ENVTL. L. REV. 169, 193 (2020).

10

Maheshwara Swamy, N. Law Relating to Environmental Pollution and Protection.India, Thompson Reuters, Vol.I, Ed.5.

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of enjoyment of pollution free water and air for full enjoyment of life11."

28.7 Analyzing the concept of the functioning of the NGT and its role within the the broader broader concept of the environmental rule of law, Justice D.Y. Chandrachud speaking for a three judges Bench in H.P. Bux Stand Management & Development Authority vs. Central Empowered Committee12 so succinctly said that, "40. The environmental rule of law, at a certain level, is a facet of the concept of the rule of law. But it includes specific features that are unique to environmental governance, features which are sui generis. The environmental rule of law seeks to create essential tools-conceptual, procedural and institutional to bring structure to the discourse on environmental protection. It does so to enhance our understand nding of environmental challenges of how they have been shaped by humanity's interface with nature in the past, how they continue to be affected by its engagement with nature in the present and the prospects for the future, if we were not to radically alter the course of destruction which humanity's actions have charted. The environmental rule of 11 (1991) 1 SCC 74.

12

(2021) 4 SCC 309 64 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

                        law        seeks        to        facilitate        a         multi-
                       disciplinary analysis of the nature and
                       consequences of carbon footprints and
                       in     doing       so        it    brings          a     shared
                       understanding                     between.               science,
                       regulatory          decisions                 and             policy
                       perspectives             in             the        field          of

environmental protection. It recognizes that the "law element in the environmental rule of law does not make the concept peculiarly the preserve of lawyers and judges. On the contrary, it seeks to draw within the fold all stakeholders in formulating strategies to deal with current challenges posed by environmental degradation, climate change and the destruction of habitats. The environmental rule of law seeks a unified understanding of these concepts."

28.8 It is this environmental rule of law that has been encapsulated with the NGT's creation at this Court's behest. Professor Domenico Amirante in a comparative analysis of similar bodies across the world, notes that.

"With reference to the judicial enforcement of environmental law which we have seen should be considered an important condition not only for sustainable development but also for the sustainability of the legal environmental order the National Green Tribunal of India seems to be the most comprehensive and promising among the 65 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
specialized environmental Courts created in Asin over the last decade13."

31. The environmental impacts on climate change are gaining increasing visibility in the shape of uncertain rains, species extinction, loss of natural habitat and so on. These also have the propensity to diminish fresh water resources, reduce agricultural yields and impact public health, particularly in the cities. The flooding and erosion in riverine and coastal areas are matters of serious concern. Governmental assessment of India's increased vulnerability to such changes in the near future also exists14 with many countries declaring climate emergencies arfd many others being urged to follow suit15

32. Therefore, the nature of ecological imbalance which is visible even in our own times may cascade, and the unforeseen injustice of the future may not be capable of being handled within the frontiers set forth today. The long term and very often irreparable environmental damage which are expected to be arrested by the NGT, urge this Court to advert to what is termed as the 'Seventh Generation sustainability principle, or the 'Great Latw of the Iroquois(as it originates from the Iroquois Tribe) which requires all 13 Domenico Amirante, Environmental Courts in Comparative Perspective: Preliminary Reflections on the National Green Tribunal of India, 29 Pace Envtl. L. Rev. 441 (2012) 14 Indian Network for Climate Change Assessment, Climate Change and India: A 4X4 Assessment - A sectoral and regional analysis for 2030s, Ministry of Environment and Forests, Government of India, 16 November 2010 15 Secretary-General's Remarks at the Climate Ambition Summit. United Nations. United Nations, December 12, 2020.

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decision making to withstand for the benefit of seven generations down the line.

34. In circumstances where adverse environmental impact may be egregious, but the community affected is unable to effectively get the machinery into action, a forum created specifically to address such 1) concerns should surely be expected to move with expediency, and of its own accord. The potentiality of disproportionate harm imposes a higher obligation on authorities to preserve rights which may be waylaid due to such restrictive access. It is also noteworthy that the "global impacts of climate change will fall disproportionately on minority and low income communities16. Thus, an affirmative role, beyond mere adjudication at the instance of applicant, is certainly required for serving the ends of environmental justice, as the statute itself requires of the NGT. We cannot validate an argument which furthers uncertainty to justify the role of a spectator, if not inaction, and would most assuredly result in injustice.

35. The NGT, with the distinct role envisaged for it, can hardly afford to remain a mute spectator when no-one knocks on its door. The forum itself has correctly identified the need for collective stratagem for addressing environmental concerns. Such a society centric approach must be allowed to work within the established safety valves of the principles of natural justice and appeal to the Supreme 16 Supra Note 23.

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Court. The hands-off mode for the NGT, when faced with exigencies requiring immediate and effective response, would debilitate the forum from discharging its responsibility and this must be ruled out in the interest of justice.

37. When the Registry of the NGT does indeed receive a communication or letter, including matters published in media, it may cause to initiate suo motu action by inviting attention of NGT to such matters in the form of office report. Such circumstances would however require a notice to be given to the sender of the communication or author of the news item, as the case may be, to assist the NGT in the course of hearing and to substantiate the factual matters. It must also be said that the exercise of suo motu jurisdiction does not mean eschewing with the principles of natural justice and fair play. In other words, the party likely to be affected should be afforded due opportunity to present their side, before suffering adverse orders.

39. Institutions which are often addressing urgent concerns gain. little from procedural nitpicking, which are unwarranted in the face of both the statutory spirit and the evolving nature of environmental degradation. Not merely should a procedure exist but it must be meaningfully effective to address such concems. The role of such an F institution cannot be mechanical or ornamental. We must therefore adopt an interpretation which sustains the spirit of public good and not 68 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

render the environmental watchdog of our country toothless and ineffective.

40. Let us now hark back to the dialogues of the two protagonists, in Waiting for Godor, the play written by Samuel Beckett with which, we started this judgment. At the end of the deliberations, we find ourselves saying that the National Green Tribunal must act, if the exigencies so demand, without indefinitely waiting for the metaphorical Godot to knock on its portal. The preceding discussion advises us to answer the pointed question in the affirmative. It is accordingly declared that the NGT is vested with suo motu power in discharge of its functions under the NGT Act."

47. Learned Counsel for the State has further submitted that any action and accident in handling any hazardous substance resulting in continuous or intermittent or repeated exposure to death or injury, the person affected are entitled for damage to the person or property according to rules and the collector has jurisdiction to pass an order and decide it according to rules.

48. It is further submitted that the Collector has jurisdiction to realize the fine according to the rules prescribed in the Public Liability Insurance Act, 1991. The relevant portions are quoted below:-

"17[(a) "accident" means an accident involving a fortuitous or sudden or unintended occurrence while handling any hazardous substance resulting in continuous or intermittent or repeated exposure to death of, or injury to, any person or damage to any property but does not include an accident by 17 Subs. by Act 11 of 1992, s. 2, for clause (a) (w.e.f. 31-1-1992).
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reason only of war or radio-activity;] 18[(g) "owner" means a person who owns, or has control over handling, any hazardous substance at the time of accident and includes,-
(i) in the case of firm, any of its partners;
(ii) in the case of an association, any of its members; and
(iii) in the case of a company, any of its directors, managers, secretaries or other officers who is directly in charge of, and is responsible to, the company for the conduct of the business of the company:] 19[(ha) "property" includes any private property or public property affected or damaged by any unit or undertaking, due to manufacture, processing, treatment, package, storage, transportation, use, collection, destruction, conversion, transfer or such other processes of hazardous substance;].

3. Liability to give relief in certain cases on principle of no fault ---- 20[(1) Where death or injury to any person (other than a workman) or damage to any property has resulted from an accident, the owner shall be liable to reimburse such amount, or provide such other relief as may be prescribed, for --

(a) death due to fatal accident

(b) medical expenses incurred due to total or partial disability,

(c) loss of wages due to partial disability;

(d) other injury or sickness,

(e) damage to private property;

or

(f) such other loss or damage, as may be prescribed.] 18 Subs. by s. 2, ibid., for clause (g) (w.e.f. 31-1-1992).

19

Ins. by Act 18 of 2023, s. 2 and Schedule (w.e.f 1-4-2024).

20

Subs. by s. 2 and Schedule, ibid., for sub-section (1) (w.e.f. 1-4-2024).

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(2) In any claim for relief under sub-section (7) (hereinafter referred to in this Act as claim for relief), the claimant shall not be required to plead and establish that the death, injury or damage in respect of which the claim has been made was due to any wrongful act, neglect or default of any person.

Explanation For the purposes of this section, --

(i) "workman" has the meaning assigned to it in the Workmen's Compensation Act, 1923 (8 of 1923),

(ii) "injury" includes permanent total or permanent partial disability or sickness resulting out of an accident.

4. Duty of owner to take out insurance policies. 21[(1) Every owner of any undertaking shall take out, before he starts handling any hazardous substance, one or more insurance policies for such undertaking or unit providing for contracts of insurance whereby he is insured against liability to give such relief or reimburse such amount referred to in sub-section (1) of section 3.

Explanation For the purposes of this sub-section, it is hereby clarified that any undertaking having separate consent to operate under--

(i) the Water (Prevention and Control of Pollution) Act, 1974 (6 of 1974); and

(ii) the Air (Prevention and Control of Pollution) Act, 1981 (14 of 1981), shall be treated as a separate unit:

Provided that any owner handling any hazardous substance immediately before the commencement of the Jan Vishwas (Amendment of Provisions) Act, 2023 shall take out such insurance policy or policies as soon as may be and in any case within a period of one year from commencement of that Act.] 21 Subs. by s. 2 and Schedule, ibid., for sub-section (1) (w.e.f. 1-4-2024).
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(2) Every owner shall get the insurance policy, referred to in sub-section (1), renewed from time to time before the expiry xpiry of the period of validity thereof so that the insurance policies may remain in force throughout the period during which such handling is continued 22[23(2A) An insurance policy taken out or renewed by an owner for any undertaking or unit shall be for an amount which shall not be less than the amount of the paid-up capital of that undertaking or unit handling any hazardous substance owned or controlled by that owner and may extend to such amount as may be prescribed but not exceeding five hundred crore rupees.

5. Verification and publication of accident by Collector -- Whenever it comes to the notice of the Collector that an accident has occurred at any place within his jurisdiction, he shall verify the occurrence of such accident and cause publicity to be given in such manner as he deems fit for inviting applications under sub-section (7) of section 6.

6. Application for claim for relief (1) An application for claim for relief may be made--

(a) by the person who has sustained the injury;

(b) by the owner of the property to which the damage has been caused,

(c) where death has resulted from the accident, by all or any of the legal representatives of the deceased, or

(d) by any agent duly authorised by such person or owner of such property or all or any of the legal representatives of the deceased, as the case may be:

Provided that where all the legal representatives of the deceased have not joined in any such application for relief, the application shall be made on behalf of or for the benefit of all 22 Ins. by Act 11 of 1992, s. 3 (w.e.f. 31-1-1992).
23
Subs. by Act 18 of 2013, s. 2 and Schedule (w.e.f. 1-4-2024).
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the legal representatives of the deceased and the legal representatives who have not so joined shall be impleaded as respondents to the application.

24[(1A) Where any damage has been caused to any public property or private property due to manufacture, processing, treatment, package, storage, transportation, use, collection, destruction, conversion, transfer or such other processes, of such hazardous substance, an application for claim for restoration of the property may be made by the owner of the property or such other person, as may be prescribed, to the Collector.] (2) Every application under sub-section (1) shall be made to the Collector and shall be in such form, contain such particulars and shall be accompanied by such documents as may be prescribed.

(3) No application for relief shall be entertained unless it is made within five years of the occurrence of the accident.

7. Award of relief (1) On receipt of an application under sub-section (7) of section 6, the Collector shall, after giving notice of the application to the owner and after giving the parties an opportunity of being heard, hold an inquiry into the claim or, each of the claims, and may make an award determining the amount of relief which appears to him to be just and specifying the person or persons to whom such amount of relief shall be paid.

(2) The Collector shall arrange to deliver copies of the award to the parties concerned expeditiously and in any case within a period of fifteen days from the date of the award 25[(3) When an award is made under this section,--

(a) the insurer, who is required to pay any amount in terms of such award and to the extent specified in sub-section (28) of section 4, shall, 24 Ins. by Act 18 of 2023, s. 2 and Schedule (w.e.f. 1-4-2024).

25

Subs. by Act 11 of 1992, s. 4, for sub-section (3) (w.e.f. 31-1-1992).

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within a period of thirty days of the date of announcement of the award, deposit that amount in such manner as the Collector may direct,

(b) the Collector shall arrange to pay from the Relief Fund, in terms of such award and in accordance with the scheme made under section 7A, to the person or persons referred to in sub- section (1) such amount as may be specified in that scheme,

(c) the owner shall, within such period, deposit such amount in such manner as the Collector may direct.] (4) In holding any inquiry under sub-section (1), the Collector may, subject to any rules made in this behalf, follow such summary procedure as he thinks fit.

(5) The Collector shall have all the powers of Civil Court for the purpose of taking evidence on oath and of enforcing the attendance of witnesses and of compelling the discovery and production of documents and material objects and for such other purposes as may be prescribed: and the Collector shall be deemed to be a Civil Court for all the purposes. of section 195 and Chapter XXVI of the Code of Criminal Procedure, 1973 (2 of 1974).

(6) Where the insurer or the owner against whom the award is made under sub-section (1) fails to deposit the amount of such award within the period specified under sub-section (3), such amount shall be recoverable from the owner, or as the case may be, the insurer as arrears of land revenue or of public demand.

(7) A claim for relief in respect of death of, or injury to, any person or damage to any property shall be disposed of as expeditiously as possible and every endeavour shall be made to dispose of such claim within three months of the receipt of the application for relief under sub-section (7) of section 6.

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26[(8) Where an owner is likely to remove or dispose of his property with the object of evading payment by him of any amount of award, the Collector may, in accordance with the provisions of rules 1 to 4 of Order XXXIX of the First Schedule to the Code of Civil Procedure, 1908 (5 of 1908), grant a temporary injunction to restrain such act.] 27[(9) Where the environment is affected or damaged due to manufacture, processing, treatment, package, storage, transportation, use, collection, destruction, conversion, transfer or such other processes, of such hazardouss substance, the Central Government may, on an application made by the Central Pollution Control Board or the State Pollution Control Board, as the case may be, allocate the fund from the Environmental Relief Fund for restoration of the damage so caused in the manner as may be prescribed.] 28[7A. Establishment of Environmental Relief Fund (7) The Central Government may, by notification, establish a fund to be known as the Environmental Relief Fund.

29[(1A) There shall be credited to the Relief Fund established under sub-section (1) --

(a) the amount referred to in sub-section (20) of section 4;

(b) the amount of penalty imposed under this Act,

(c) the interest or other income received out of investments made from the Fund, and

(d) any other amount from such sources, as may be prescribed.] (2) The Relief Fund shall be utilised for paying, in accordance with the provisions of this Act and the scheme 26 Ins. by s. 4, ibid. (w.e.f. 31-1-1992).

27

Ins. by Act 18 of 2023, s. 2 and Schedule (w.e.f. 1-4-2024).

28

Ins. by Act 11 of 1992, s. 5, (w.e.f. 31-1-1992).

29

Ins. by Act 18 of 2023, s. 2 and Schedule (w.e.f. 1-4-2024).

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made under sub-section (3), relief under the award made by the Collector under section 7.

(3) The Central Government may, by notification, make a scheme specifying the authority in which the Relief Fund shall vest, the manner in which the Relief Fund shall be administered, the form and the manner in which money shall be drawn from the Relief Fund and for all other matters connected with or incidental to the administration of the Relief Fund and the payment of relief therefrom].

8. Provisions as to other right to claim compensation for death, etc.-(1) The right to claim relief under sub-section (1) of section 3 in respect of death of, or injury to, any person or damage to any property shall be in addition to any other right to claim compensation in respect thereof under any other law for the time being in force (2) Notwithstanding anything contained in sub-section (7), where in respect of death of, or injury to, any person or damage to any property, the owner, liable to give claim for relief, is also liable to pay compensation under any other law, the amount of such compensation shall be reduced by the amount of relief paid under this Act.

15A. Adjudicating officer. (1) The Central Government, for the purposes of determining the penalties under sections 14 or 15, may appoint the District Magistrate having jurisdiction over the area or an officer not below the rank of Director to the Government of India or an officer not below the rank of Joint Secretary to the State Government, to be the adjudicating officer, to hold an inquiry and impose penalty in the manner, as may be prescribed:

Provided that the Central Government may appoint as many adjudicating officers as may be required.
(2) The adjudicating officer may summon and enforce the attendance of any person acquainted with the facts and circumstances of the case to give evidence or to produce any 76 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

document, which in the opinion of the adjudicating officer, may be useful for, or relevant to, the subject matter of the inquiry and if, on such inquiry, he is satisfied that the person concerned has failed to comply with the provisions of sub- section (J), sub-section (2), sub-section (24) or sub-section (2C) of section 4 and section 12, he may determine such penalty as he thinks fit under the provisions of sections 14 and 15:

Provided that no such penalty shall be imposed without giving the person concerned a reasonable opportunity of being heard.
15B. Appeal (1) Whoever aggrieved by the order, passed by the adjudicating officer under section 15A, may may prefer an appeal to the National Green Tribunal established under section 3 of the National Green Tribunal 1 Act, 2010 (19 of 2010).
(2) Every appeal under sub-section (7) shall be filed within sixty days from the date on which the copy of the order made by the adjudicating officer is received by the aggrieved person.
(3) The Tribunal may, after giving the parties to the appeal an opportunity of being beard, pass such order as it thinks fit, confirming, modifying or setting aside the order appealed against.
(4) Where an appeal is preferred against any order of the adjudicating officer under sub-section (1), such appeal shall not be entertained by the Tribunal unless such person has deposited with the Tribunal ten per cent of the amount of the penalty imposed by the adjudicating officer.]"
49. In view of the above provisions, the collector/district magistrate having jurisdiction over the area as to decide after holding the inquiry and calling the report from the competent expert with regard to cause of death and injuries and damage to the property and assess the compensation and to realize it and to distribute among the persons 77 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
affected and anyone aggrieved by the order of the collector may file an appeal before the National Green Tribunal under Section 3 of the National Green Tribunal Act, 2010 as provided under Section 15B of the Act.
50. The contention of the learned counsel for the State Mr. Prashant M. Harne are that the Collector has jurisdiction to assess the compensation, to award the order and to realize it according to rules and the collector is proceeding according to rules, thus, this Tribunal cannot interfere in the statutory duty and function of the Collector and if the project proponent is aggrieved by the order of the Collector, he may file an appeal according to the rules provided and quoted above.
51. He has further submitted that IA Nos. 15/2025 and 16/2025 may be entertained and disposed and the property which has been attached by the administration should be released so that the respondent may pay the amount of compensation from the property which has been seized. In response to the above contention learned counsel for the State/private respondents/intervener/aggrieved/injured Ms. Ashwarya Choudhary and Ms. Avni Bansal has submitted that :-
i. More than 60 houses were in the fire incident and persons and residents of more than 100 houses were directed to vacate their premises. Since the District Administrator's report is on the record, it can no longer be merely alleged, that the factory firecracker blast and the fact that houses were razed, death and injury resulted and people were forced to vacate their homes and have been living in makeshift relief camps since 06.02.2024 is now a matter of record and no internal preliminary verification would have 78 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.
been conducted before taking cognizance of a matter of such a scale and brutal impact. Secondly, all the relevant authorities, as well as the answering respondents, were impleaded and notified in the order dated 06.02.2024 thereby providing them ample opportunity of hearing. Thirdly, the very nature of interim compensation precludes the necessity of a detailed investigation so as to provide immediate relief to victims on the basis of a prima facie case. On the basis of further and thorough investigation, final compensation is calculated and adjustments are then made to the interim compensation.
52. It is further argued that in the case of Aryavart Foundation vs. Yashasvi Rasayan Pvt. Ltd. & Anr [2020 SCC Online NGT 2509], the Hon'ble Tribunal observed in its order dated 30.07.2020 "6. While the company and other concerned have to be given due opportunity, an interim direction for compensation on the basis of available material cannot brook any delay. Interim compensation can be awarded on conservative subject to final compensation being determined later."
"5. ...The order is not based on media report alone as wrongly submitted. The order was passed after preliminary verification of facts and after notice to the present applicant. Even now, neither the incident is disputed nor necessary safeguards as per statutory mandate are disputed. Statutory Onsite and Offsite plans and their compliance are not shown. Liability of the applicant is absolute and compensation payable is deterrent..."

53. It is further argued that the Hon'ble High Court of Madhya Pradesh at Jabalpur in W.P. No. 5160 of 2024 in its order dated 16.12.2024 had 79 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

also noted that the factory owners had assured deposition of an amount of Rs. 3 crores to the Hon'ble National Green Tribunal and till date the entire amount has not been deposited by them.

54. It is further argued that the respondents at this stage are merely trying to give the payment compensation to the victims by urging that the interim compensation was awarded without hearing them but the proceedings are now at the stage of calculation of exact compensation in light of the order of Hon'ble High Court of MP at Jabalpur passed in W.P. No. 5160/2014.

"The Write Petition No. 5160 of 2024 was finally disposed of by the Hon'ble High Court of Madhya Pradesh Jabalpur vide order dated16.12.2024 with the following observation. :
In view of above, the petition is disposed of with the following directions:-
(i) It would be open to the petitioner to raise the objection with regard to classification, genuineness of claimants/victims in respect of the injuries; and the categorization, classification and quantum to be paid to individual for loss of property and destruction of houses and displacement.
(ii) In case, such an objection is raised by the petitioner, NGT shall consider the same in accordance with law.
(iii) In so far as the offer of petitioner for making arrangement of a higher amount towards the auction of the property vis-a-

vis the bid received, it is open to the petitioner to place such a proposal before the NGT and for the NGT to consider the same, in accordance with law.

(iv) The interim order dated 23.04.2024 staying disbursal of the amount is modified and vacated to the limited extent pertaining to the death cases. It would be open to the 80 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

administration to disburse the death compensation as directed by the NGT.

(v) Further it would be open to the NGT to consider disbursal of the amount in respect of injury cases and cases pertaining to loss to property and displacement of individuals, taking into consideration the objection of the petitioner, if any raised before the NGT."

55. The matter of suo moto cognizance has already been dealt with by this Tribunal in para 3 of the order dated 06.02.2024 which is quoted below :-

"In Civil Appeal No. 12122-12123 of 2018 decided on 07.10.2021 in Municipal Corporation of Greater Mumbai vs. Ankita Sinha & Ors. Hon'ble Supreme Court of India held as follows :-
"1. Explaining the purpose for constituting the special court to deal with environmental issues, in Mantri Techzone (P) Ltd. vs. Forward Foundation15, Justice S. Abdul Nazeer writing for the three Judge Bench, made the following pertinent observations on the status of the NGT:-
"40. The Tribunal has been established under a constitutional mandate provided in Schedule VII List I Entry 13 of the Constitution of India, to implement the decision taken at the United Nations Conference on Environment and Development. The Tribunal is a specialised judicial body for effective and expeditious disposal of cases relating to environmental protection and conservation of forests and other natural resources including enforcement of any legal right relating to the environment. The right to healthy environment has been construed as a part of the right to life under Article 21 by way of judicial pronouncements.
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Therefore, the Tribunal has special jurisdiction for enforcement of environmental rights."

2. During the course of its functioning, the NGT has been recognized as one of the most progressive Tribunals in the world. This jurisprudential leap has allowed our country to enter a rather exclusive group of nations which have set up such institutions with broad powers. To understand how the NGT is perceived globally, we may usefully refer to the views of Chief Justice Brian Preston of the Land and Environment Court of NSW Australia, "The NGT is an example of a specialized court to better achieve the goals of ensuring access to justice, upholding the rule of law and promoting good governance."

3. The environmental impacts on climate change are gaining increasing visibility in the shape of uncertain rains, species extinction, loss of natural habitat and so on. These also have the propensity to diminish fresh water resources, reduce agricultural yields and impact public health, particularly in the cities. The flooding and erosion in riverine and coastal areas are matters of serious concern. Governmental assessment of India's increased vulnerability to such changes in the near future also exists with many countries declaring climate emergencies and many others being urged to follow suit. (United Nations. United Nations, December 12, 2020.)

4. Therefore, the nature of ecological imbalance which is visible even in our own times may cascade, and the unforeseen injustice of the future may not be capable of being handled within the frontiers set forth today. The long term and very often irreparable environmental damage which are expected to be 82 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

arrested by the NGT, urge this Court to advert to what is termed as the 'Seventh Generation' sustainability principle, or the 'Great Law of the Iroquois' (as it originates from the Iroquois Tribe) which requires all decision making to withstand for the benefit of seven generations down the line.

5. It is vital for the wellbeing of the nation and its people, to have a flexible mechanism to address all issues pertaining to environmental damage and resultant climate change so that we can leave behind a better environmental legacy, for our children, and the generations thereafter.

6. In circumstances where adverse environmental impact may be egregious, but the community affected is unable to effectively get the machinery into action, a forum created specifically to address such concerns should surely be expected to move with expediency, and of its own accord. The potentiality of disproportionate harm imposes a higher obligation on authorities to preserve rights which may be waylaid due to such restrictive access. It is also noteworthy that the "global impacts of climate change will fall disproportionately on minority and low-income communities". Thus, an affirmative role, beyond mere adjudication at the instance of applicant, is certainly required for serving the ends of environmental justice, as the statute itself requires of the NGT. We cannot validate an argument which furthers uncertainty to justify the role of a spectator, if not inaction, and would most assuredly result in injustice.

7. The NGT, with the distinct role envisaged for it, can hardly afford to remain a mute spectator when no-one knocks on its door. The forum itself has correctly identified the need for collective stratagem for addressing environmental concerns. Such a society centric approach must be allowed to work within the established safety valves of the principles of natural justice and appeal to the Supreme Court. The hands-off mode for the 83 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

NGT, when faced with exigencies requiring immediate and effective response, would debilitate the forum from discharging its responsibility and this must be ruled out in the interest of justice."

56. Learned counsel for the aggrieved /injured has further argued that the scale of the damages caused, the presence of authorities to contain the fire that broke out, the number of ambulances used to transport victims, and the approximation of casualties reported were sufficient to warrant suo motu cognizance and interim compensation on the part of the Hon'ble Tribunal.

57. The interim compensation is awarded on the basis of the nature of the incident, the scale of damage to life, property, and the environment, and the polluter pays principle, an initial estimation of which is sufficient to award interim compensation. Further, although a formula is not specified in the National Green Tribunal Act, 2010, the Hon'ble Supreme Court of India has laid down the jurisprudence of compensation in India in a slew of judgments such as SMT. Sarla Verma & Ors. Vs. Delhi Transport Corporation & Anr [(2009) 5 S.C.R. 1098] and National Insurance Co. Ltd. Vs. Pranay Sethi [AIR 2017 SC 5157] which aids in determining the final compensation after an investigation by the concerned authorities. Such a formula is not required to award interim compensation.

Additionally, Section 15 (1) of the National Green Tribunal Act, 2010, states, "The Tribunal may, by an order, provide,-

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Relief and compensation to the victims of pollution and other environmental damage arising under the enactments specified in the hazardous substance);

(a) For restitution of property damaged;

(b) For restitution of the environment for such area or areas, As the Tribunal may think fit."

Also, Section 17 (1) of the Act states, "Where death of, or injury to, any person (other than a workman) or damage to any property or environment has resulted from an accident or the adverse impact of an activity or operation or process, under any enactment specified in Schedule I, the person responsible shall be liable to pay such relief or compensation for such death, injury, or damage, under all or any of the heads specified in Schedule II, as may be determined by the Tribunal."

58. The purpose of interim compensation is to provide immediate relief to victims so that they are not compelled to suffer needlessly for months and years while final compensation is calculated based on the factual matrix of each individual case. If, after proper investigation, it comes to light that the interim compensation was underestimated or overestimated, the same is adjusted in the quantum of the final compensation so as to cause no injustice to the persons or companies liable for the same. Thus, there is no merit to the averment that interim compensation should only have been awarded after exact calculation.

59. It is well settled that compensation has to be quantified on the principle of restitution, as laid down inter alia in Gobald Motors, AIR 1962 SC 1.

In MCD vs. Uphaar Tragedy Victims Association- (2011) 14 SCC 481, it 85 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

was held that compensation can be ad hoc in absence of data and approximate amount was laid down.

60. Learned counsel for the State has further submitted that liability of the respondents are strict and absolute although the State is separately liable for its negligence in undertaking immediate investigation, and for granting licenses to habitual offendors, that in no way can reduce the quantum of liability of the Respondents. At the same time, the judgment cited by the Respondents was of the year 2011. On account of inflation, the amount of compensation awarded in 2011 cannot be the same as the amount of compensation that can be awarded 13 years later, in 2024.

According to the damages caused, the current economy, and the sheer negligence and apathy of the Respondents, the quantum of compensation awarded as an interim measure was appropriate.

61. The factors laid down by the Respondents come into play when final compensation is determined according to individual age, employment, loss of future income, etc. Such assessment is neither possible nor required immediately after a hazardous incident such as in the present case so that some amount can be quickly distributed among the victims until a proper assessment is carried out by the relevant authorities.

Keeping that in mind, the interim compensation awarded by the Tribunal was just, proper, and in accordance with the law.

62. When a person or group of persons are carrying out dangerous and hazardous activities with the potential of causing serious harm, and such harm is caused, they will be strictly and absolutely liable for the full extent of damage caused by them regardless of the precautions taken and/or the possibility of aggravating circumstances such as external possessed raw materials to the tune of 3500 KG as per the collector's 86 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

report included in the order dated 02.04.2024 of this Tribunal. Prior to the expiration of their license, they were only permitted to store materials of up to 15 KG. Additionally, the Respondents are repeat offendors who have several cases filed against them in similar matters, pending final adjudication. This repeated negligence and lack of concern toward human life, property, or the environment further ensures that no circumstances can mitigate their liability.

63. That the calculated compensation of nearly 20 persons has come out to be more than 5 lakhs each, in itself justifies the interim compensation of Rs. 5 lakhs for burnt or damaged houses. Finally, saving the right to verify and submit additional documents to substantiate the collector's report, it can be seen that nearly all the houses were 100% burnt down/ damaged by the firecracker factory blast. Thus, the Respondents are required to pay the interim compensation to the victims without further delay. Further, although finding out the nature and extent of the injuries/ disability is appropriate to determine final compensation, the Respondents cannot discriminate between workers and non-workers owing to their strict and absolute liability in this case. Similarly, the reason for being present on the site is immaterial and the aspect of contributory negligence cannot and does not arise since the factory owners were absolutely liable for any harm caused to anyone or anything due to the hazardous nature of their occupational activities.

64. Learned counsel for the State and the aggrieved has further submitted that though the Tribunal has impleaded state authorities and the respondent the PP but not a single penny as a part of interim compensation or any compensation was paid to the aggrieved persons 87 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

whose houses were burned and who are residing in tented temporary arrangement made by the local/district administration.

65. Contention of the learned counsel for State and the private respondents/ aggrieved persons are that the Property was seized by the District Administration after the Respondents No. 04 and 05 attempted to deceive the Hon'ble Tribunal by providing ill-intentioned assurances regarding the payment of the interim compensation, but refused to do the same despite having full financial capability for the same. The members of the family were not negatively affected in any manner and the Property was seized after the repeated non-compliance of the Respondents No. 04 and 05 with the orders that were passed against them by the Hon'ble Tribunal, instructing them to deposit the full amount of interim compensation. Thus, the Tribunal has followed the legal procedure in a just manner and upheld the principles of natural justice by providing an ample number of opportunities to the Respondents for paying the interim compensation and later contesting the grounds for arriving at the amounts despite the considerable damage and harm caused to the victims.

66. Additionally, the victims of the blast have lost their lives, livelihoods, and houses which has forced them to survive in temporary camps in dire conditions without substantial relief being received from the Respondents No. 04 and 05. The auction of the seized Property is necessary for providing aid to the victims and further enhanced compensation is also required to be paid for the extent of damage caused to the victims, thus the Property cannot be released. It is averred that the Hon'ble Supreme Court of India vide its order dated 07.01.2025 refused to hear the bail matter of Pradeep Goyal, until the accused persons deposit the pending 88 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

interim, specifically 3 crores that the accused persons offered to deposit in lieu of their seized factory site, which was also auctioned off by the district administration. Therefore, the insensitive behaviour of the Respondents is evident in their continuous efforts to avoid the payment of legally sanctioned compensation and instead oppose the justly adopted means of ensuring their compliance with the procedure of law to enforce strict and absolute liability on them for destroying hundreds of lives and further that due to negligence, carelessness and violation of environmental laws and local laws by the respondent no. 4 and 5 this immense devastation took place causing death of several persons and damaging and burning houses of the local residents.

67. Learned counsel for the state has submitted that the Hon'ble High Court has directed that the (i) clause with direction as follows :-

(i) It would be open to the petitioner to raise the objection with regard to classification, genuineness of claimants/victims in respect of the injuries; and the categorization, classification and quantum to be paid to individual for loss of property and destruction of houses and displacement.
(ii) In case, such an objection is raised by the petitioner, NGT shall consider the same in accordance with law.

68. In compliance of the above order the state administration has submitted calculation of list as at annexure R-2 and R-3 with the details of exact amount of damage separately after examining every matter taking assistance of expert of relevant field. Six members committee submitted the report as follows :-

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69. Learned counsel for the state has submitted that in light of the order of Hon'ble High Court the calculation has been done by the expert authority of the state and no objection has been filed against this calculations. The District Administration has filed the status report with the category of following persons affected by the blast. The deceased, simple injury, grievous injuries, list of those persons whose house have been totally burned or damaged, the persons whose houses have been partially damaged, the list of persons who have been evacuated from their houses due to incident.

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70. The District Magistrate/representative of the District Magistrate /ADM represented the case and participated the proceedings through VC, and submitted that the District Administration has to comply the orders of the Hon'ble High Court and in compliance of the order quoted above, no offer has been presented for arrangement of any higher amount either before the District Administration or before this Tribunal. Learned Counsel for the State has also submitted that no offer has been presented by the Project Proponent/Respondent no. 4 & 5 before this Tribunal or before the District Administration. Accordingly, the District Administration is at liberty to proceed according to law. The Hon'ble High Court has further directed as follows :

"Further it would be open to the NGT to consider disbursal of the amount in respect of injury cases and cases pertaining to loss to property and displacement of individuals, taking into consideration the objection of the petitioner, if any raised before the NGT."

71. In compliance of the above order learned counsel for the state has submitted that the calculation done by the six members committee including Executive Engineer, RES Division, Executive Engineer building PWD, Executive Engineer PWD (B&R), Sub Division Officer PWD have been calculated and filed, copy of the same has been provided to the opposite parties and presented before this tribunal on 14.01.2025 but no objection has been filed against this calculation. In the interest of justice, we further provide an opportunity to file objection against Annexure-R/2 and R/3 with the details clarifying individual cases from sl. No. 1 to the last with the facts and calculation, so that exact amount of restitution 99 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.

can be taken out. Additional District Magistrate participating the proceeding through V.C. expressed the problems being faced by the district administration that more than 200 persons are residing in tented house and fooding and lodging of these persons are being provided by the District administration and these persons have been evacuated from their houses for the reasons that their houses have been burnt and damaged due to explosion in the factory of fire crackers owned by the respondent. Approximate cost of the expenditure is approximately 7 to 8 lakhs per month. He has further submitted that this expenditure is also required to be realized from the violators of the law. District Administration of the State is at liberty to proceed to realize the amount of damage and expenditure for fooding and lodging of the affected persons from the violators from the seized/auctioned property.

72. Learned Counsel for the respondent has again pressed the application I.A. Nos. 15/2025, 16/2025 and the Learned Counsel for the state has submitted that directions with regard to para (iii) of the Hon'ble High Court has not been complied with, this matter is not tenable. State is directed to file the objection, if any. Since the matter relates to suffering of the more than 200 persons residing in tented house, thus, matter requires to be expedited.

List it on 03rd February, 2025.

Sheo Kumar Singh, JM [ Dr. Afroz Ahmad, EM 29th January, 2025 O.A. No. 20/2024 (CZ) PN 100 O.A. No. 20/2024(CZ) Suo Moto action on the News regarding blast in the fire cracker factory in Harda District of Madhya Pradesh on 06.02.2024 Vs State of M.P.& Ors.