CB BureauThe Supreme Court has imposed a fine of Rs 100 crore on Sterlite Industries,
part of Vedanta Resources, for polluting environment through its copper-smelting
plant in Tuticorin, Tamil Nadu. However, the apex court refused to direct
closure of the plant.
The company has to pay the compensation amount in five years, the SC ruled.
The court has made it a point to emphasise that the compensation must act as a
deterrent and any fine less than Rs 100 crore would not have had the desired
impact.
The apex court has hereby overturned an earlier order of the Madras High
Court to close down the company’s Tuticorin for flouting environmental norms. In
September 2010, the Madras High Court had categorically said that the plant was
‘letting out effluents into air and water which is having a devastating impact.’
In FY 2011″12, Sterlite Industries produced 325,877 tonnes of refined copper
and reported a consolidated turnover of Rs 40,967 crore. The company employs
about 3,000 people in Tamil Nadu, including about 1,000 at the smelter.
The ‘environment’ chapter on the company’s website states: ‘SIIL strives to
conduct business in a manner that is protective of the environment and
compatible with the environmental needs of the communities in which we operate.
We are committed to improving our environmental performance through
scientifically sound and practical solutions with the goal of achieving zero
environmental impact.’