NGT Dismissed The Application, To Reconsider The Compensation Of Rs.25,000/- Per Person For Displacement

The National Green Tribunal has dismissed the application of Yashashvi Rasayan Pvt. Ltd. Gujarat Base Chemical Company to reconsider the compensation of Rs.25,000/- (Rupees Twenty Five Thousand) per person for displacement of 4800 persons in view of Liberty granted by Supreme Court.

The facts of the case is that on 03.06.2020 at Dahej, District Bharuch, Gujarat a massive blast took place in a chemical factory run by Yashyashvi Rasayan Pvt. Ltd. (Company). On account of a fire in the storage tank of the factory, manufacturing several chemicals including Methanol and Xylene which are Hazardous Chemical and eight (08) workers were killed and atleast 50 injured. Bodies of some of the workers inside the factory were charred beyond recognition. An NGO located at Surat mentioning the above facts based on newspaper reports filed an application before the NGT and also mentioned the recent shocking incident of 07.05.2020 in the factory of L.G. Polymers India at Vishakhapatnam where 12 persons died and several others were injured.

The NGT after hearing the parties directed the company by its order dated 08.06.2020 to pay compensation of Rs. 15 Lakhs by way of interim compensation on account of death, and for grievous injuries, Rs. 5 Lakhs per person and with respect to Rs. 2.5 Lakhs towards injuries caused to the persons hospitalized and with respect to the displacement of 4800 persons, compensation of Rs.25,000/- per person. Further directed the  company to make an interim deposit of Rs. 25 Crores excluding the deposit/payment already made in pursuance of order of the GPCB or otherwise or under the Workmen’s Compensation Act, 1923 or any other statutory provisions or ex gratia in relation to the present incident.

Thereafter the company approached the Supreme Court by way of appeal and contended that there might have been displacement of persons only for few hours and therefore, the compensation awarded is on a higher side. It is not necessary to award the compensation in such a case of displacement of persons only for few hours. It is also submitted that the Tribunal has passed the order only on the basis of newspaper reports. The Supreme Court vide order dated 22.06.2020 directed the company to approach the NGT for modification of order dated 08.06.2020.

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India Legal Bureau

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