The Supreme Court has set aside two National Green Tribunal (NGT) orders that had imposed an environmental compensation of ₹18 crore on M/s Triveni Engineering and Industries Ltd. The penalty was earlier directed in connection with alleged violations at the company’s sugar mill in Muzaffarnagar, Uttar Pradesh.
Case Background
Triveni Engineering, a public limited company with seven sugar units across Uttar Pradesh, was accused of discharging untreated effluents and contaminating groundwater around its Khatauli sugar mill. A complaint filed in 2021 before the NGT led to the constitution of a joint inspection committee comprising the Central Pollution Control Board (CPCB), Uttar Pradesh Pollution Control Board (UPPCB), and the District Magistrate of Muzaffarnagar.
Read also: FoodTechBiz Wins Copyright Battle, Court Orders Foodinfotech to Remove Copied Articles
The inspection report highlighted several issues, including:
- Illegal disposal of untreated effluent in ponds.
- Dilution of samples with fresh water to conceal actual quality.
- Absence of flow meters at mill and boiler houses.
- Lack of records for oil, grease, boiler ash, and Effluent Treatment Plant (ETP) logbooks.
Based on these findings, the NGT on 15 February 2022 declared violations and directed assessment of compensation. Later, on 16 September 2022, it ordered Triveni Engineering to pay ₹18 crore (2% of its annual turnover) for restoration of the environment.
Hearing the appeal, the Supreme Court noted serious lapses in procedure by the NGT. Justice Ujjal Bhuyan emphasized that Triveni Engineering was not made a party in the original proceedings despite being directly affected.
Read also: Chhattisgarh High Court Seeks Better Medical Facilities in State Hospitals
The Court observed:
“There is clear violation of the principles of natural justice. No opportunity of hearing was given to the appellant before imposing such compensation.”
It also pointed out that the joint committee failed to follow mandatory sampling procedures under the Water (Prevention and Control of Pollution) Act, 1974, such as issuing notice to the occupier and sealing samples in the presence of the company’s representatives.
The Court said that the NGT “accepted the report of the joint committee without any adjudication”, and the compensation was imposed without hearing the company’s objections.
Read also: President Appoint New Judge of Allahabad High Court
The Supreme Court quashed both NGT orders dated 15.02.2022 and 16.09.2022, thereby relieving Triveni Engineering of the ₹18 crore liability.
Case: M/s Triveni Engineering and Industries Ltd. vs. State of Uttar Pradesh & Ors.
