The Principal Chief Conservator of Forest (HoFF) on August 22, 2019, pursuant to the directions of the National Green Tribunal (NGT) has imposed a fine of Rs 1.54 crore on M3M India Private Limited, a renowned construction company.
The fine was imposed after it was found that the builder has cut 2243 trees when it had permission to cut only 20 trees to develop a Gurgaon residential colony.
The green tribunal via order dated February 28, 2019, in the case of Naresh Yadav v. Union of India & Ors. has directed the Principal Chief Conservator of Forest (HoFF) to assess and recover the appropriate amount of compensation having regard to the Net Present Value (NPV) of the loss in terms of ecological services forgone forever and which may be deterrent for the law violator, apart from the timber cost of the trees cut, over and above the rate prescribed in the schedule under the forest laws.
The direction was passed by the tribunal while considering an application wherein it was alleged that an FIR dated March 26, 2017, was lodged by the Deputy Conservator of Forests, Gurugram against the M3M India Pvt. Ltd. and M3M India Holdings Pvt. Ltd. for cutting fully grown and undersized trees in Village Choma, Gurugram, however, no action was taken so far.
After hearing the application, the tribunal sought a joint report from the Haryana Urban Development Authority (HUDA) and the Principal Chief Conservator of Forest (HoFF) on the allegations.
Accordingly, a report was submitted on February 20, 2019, which revealed commission of serious illegal activities. It was disclosed that 1322 full trees and 921 undersized trees have been cut as against permission for transplantation of 20 trees.
It was also found out that the builder was aided by forest officials and a complaint under the Prevention of Corruption Act, 1988, has been lodged against them.
The grievance of the applicant as submitted before the tribunal was that mere registration of a criminal case is not enough and under the established norm of Polluter Pays, compensation for the damage to the environment must be recovered which should be exemplary and deterrent so that damage to the environment is not a profitable activity. Every statutory and regulatory authority dealing with the protection of environment is under an obligation as per Public Trust Doctrine, to realize the compensation for the damage to the environment, apart from taking other penal action. The compensation must take into account the cost of restoration of the environment, apart from being deterrent for the violator.
Accordingly, the tribunal directed the Principal Chief Conservator of Forest to recover appropriate amount of compensation from the builder.
Talking to LawStreet Journal, Advocate Prateek Srivastava counsel for the applicant has shared his dissatisfaction over imposition of a meager amount of penalty. He said, The penalty imposed on the builder is too less when there are lot of precedents wherein heavy cost and penalty have been imposed on violators/polluters and as in the present case if the builder is allowed to get away with such a meager amount then it is going to act as an enabling provision for the polluters in future regarding such offences.
