High court slaps Rs 100 crore fine on Jaypee for flouting green laws

Company asked to dismantle coal-fired power plant in Solan

Published on:

07 May 2012, 10:37 am

In a landmark judgement, the Himachal Pradesh High Court has asked Jai Prakash Associates Limited (JAL) to pay Rs 100 crore as damages for flouting environmental laws to build its cement plant in Solan district of Himachal Pradesh. The court also cancelled the environmental clearance granted to the company’s 25 MW thermal power plant. The projects are at Bagheri village in Nalagarh tehsil. The court has ordered the company to dismantle its thermal plant within three months from the date of judgement.

The verdict, delivered by justice Deepak Gupta and Sanjay Karol on May 4, 2012, said JAL is “guilty of making false statements for obtaining environmental clearances for all its projects.” These include its cement grinding and blending plant of 1.75 million tonne per annum capacity and the coal-fired power plant.

Money to be spent on community

The Rs 100 crore damages is to be paid in four equal installments of Rs 25 crore each. The first to be paid by August 31, 2012, second by March 31, 2013, third by March 31, 2014 and last installment by March 31, 2015
Money to be used for improving ecology and environment of the area and to ameliorate sufferings of the people of that area by building hospitals and other facilities
State may use Rs 10 crores to compensate the villagers by creating common facilities such as schools, community halls and sinking of tube wells
The amount cannot be used by the government for any other purpose
The state government to file detailed accounts on six-monthly basis till the entire amount is utilised

Go-ahead for cement plant

thermal power plant