NGT levies Rs20cr penalty on Dhampur Sugar Mills for violation of environmental laws; Stock slips 1%

The penalty is imposed on four units of the company in Uttar Pradesh.

Sep 07, 2021 11:09 IST India Infoline News Service

The National Green Tribunal (NGT) has imposed Rs20cr penalty on Dhampur Sugar Mills Ltd. The penalty is imposed on four units of the company in Uttar Pradesh for continuous violation of environmental laws.

A bench headed by NGT Chairperson Justice Adarsh Kumar Goel said perusal of the various inspection reports filed by Central Pollution Control Board (CPCB) and Uttar Pradesh Pollution Control Board (UPPCB) clearly reveals that there was damage caused to the environment for a considerable time.

Further, the NGT imposed environmental compensation of Rs5cr each on Dhampur Sugar Mills, District Sambhal; Dhampur Sugar Mills, District Bijnor; Dhampur Distillery Unit, District Bijnor and Dhampur Sugar Mills, Meerganj, District Bareilly, and directed them to pay the amount in 30 days from September 1, 2021.

The tribunal said one thing which has very clearly emerged is that all the four units were continuously violating the environmental laws and have shown indifferent attitude and non-concern towards the harmful effect of pollution on the environment. These units, in fact, have deprived the other persons and local inhabitants of their right to live in a pollution free environment, the bench said.

The NGT said there should be a proper balance between protection of the environment and development activities which are essential for progress.

According to the NGT, "We also impose a litigation cost of Rs10 lakh which shall be paid by respondents no 1 to 3 (Dhampur Sugar Mills Ltd) to CPCB within a period of one month and the said amount will be utilised for the protection and preservation of environment."

At around 11:49 PM, Dhampur Sugar Mills was trading at Rs302 per piece down by 0.89% on Sensex.

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