M/S TRIVENI ENGINEERING AND INDUSTRIES LTD. versus STATE OF UTTAR PRADESH & ORS.
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[2025] 9 S.C.R. 300 : 2025 INSC 1060 M/s Triveni Engineering and Industries Ltd. v. State of Uttar Pradesh & Ors. (Civil Appeal No(s). 8119-8120 of 2022) 01 September 2025 [Manoj Misra and Ujjal Bhuyan,* JJ.] Issue for Consideration Issue arose as regards the order passed by the National Green Tribunal imposing a compensation of ₹18 crores on the appellant for alleged environmental violations; and whether the tribunal adhered to fair procedure while conducting its proceedings. Headnotes† National Green Tribunal Act, 2010 – s.19 – Water (Prevention and Control of Pollution) Act, 1974 – ss.21, 22 – Environment (Protection) Act, 1986 – Environmental degradation – Environmental compensation – Power of the Control Board to take samples of effluents and procedure to be followed – Opportunity of hearing – Complaint against the appellant-engaged in sugar manufacturing alleging that the sugar mill of the appellant was discharging untreated waste in a particular drain resulting in contamination of ground water in an area of about one and a half kilometer around the sugar mill having depth upto 50 metres – NGT constituted a Joint Committee of Central Pollution Control Board (CPCB), Uttar Pradesh Pollution Control Board (UPPCB) and District Magistrate (DM) to conduct inspection – On basis thereof, NGT held that there was illegal disposal of untreated effluents, dilution at the outlet to conceal the real status, absence of monitoring, absence of record of oil and grease stored and ETP logbook, compensation of Rs.18 crores at the rate of 2 percent of annual turnover would be justified and that the compensation recovered may be utilized for restoration of the environment – Legality: Held: Impugned orders are in complete violation of the procedures laid down in the ss.21 and 22 of the 1974 Act, 1986 Act, and the 2010 Act, including s.19 thereof – Impugned decisions which entail adverse civil consequences upon the appellant were passed without * Author [2025] 9 S.C.R. 301 M/s Triveni Engineering and Industries Ltd. v. State of Uttar Pradesh & Ors. following the due procedure laid down under the statute as well as the elementary principles of natural justice – Thus, such orders are illegal and null and void – NGT exercises judicial functions – Thus, it is all the more necessary for the NGT to adhere to a fair procedure which is statutorily laid down of which principles of natural justice are an inalienable part – Rigor of s.19(1) of the 2010 Act is qua the procedure to be adopted by the NGT in conducting its proceedings – It cannot be stretched to abandon the statutory procedure laid down u/s.21 and 22 of the Water Act and by outsourcing investigation to administrative committees by overlooking the statutory provisions and basing its decisions on the recommendation of such administrative committee – This is not within the remit of NGT – In the quest for doing justice, NGT has ended up doing just the reverse – Ordinarily, in a case where there is violation of the principles of natural justice, parties are relegated to the adjudicatory forum to re-do the exercise after following the due process – However, the entire exercise has been vitiated because of non-conforming to the laid down procedure contemplated u/ ss.21 and 22 of the 1974 Act – Relegating the parties back to the NGT would serve no useful purpose – However, UPPCB free to carry out inspection and take remedial measures qua the sugar mill of the appellant by following the statutory procedure, including adherence to the principles of natural justice – Impugned orders passed by the NGT set aside. [Paras 30-34] Case Law Cited A.K. Kraipak v. Union of India [1970] 1 SCR 457 : (1969) 2 SCC 262; S.N. Mukherjee v. Union of India [1990] Supp. 1 SCR 44 : (1990) 4 SCC 594 – followed. Grasim Industries Limited v. State of Madhya Pradesh, 2024 SCC Online SC 3585 – relied on. Municipal Corporation of Greater Mumbai v. Ankita Sinha [2021] 10 SCR 1 : 2021 SCC Online SC 1298; T. Takano v. Securities and Exchange Board of India [2022] 16 SCR 212 : (2022) 8 SCC 162; State Bank of India v. Rajesh Agarwal [2023] 7 SCR 476 : (2023) 6 SCC 1; Kantha Vibhag Yuva Koli Samaj Parivartan Trust v. State of Gujarat [2022] 1 SCR 1006 : (2023) 13 SCC 525; Sanghar Zuber Ismail v. Union of India [2021] 8 SCR 525 : (2021) 17 SCC 827; Delhi Pollution Control Committee v. Lodhi Property Company Limited, 2025 SCC OnLine SC 1601 – referred to. 302 [
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