The National Green Tribunal (NGT) has slapped an over Rs 113 crore fine on a Noida-based realtor for violating environmental norms and observed that inaction by the Enforcement Directorate for more than nine and a half years in the matter "encouraged" violations. It also observed that when action was taken in the case by the federal agency it was in a "narrow sphere".
The ED has "forgotten to take note" that the scope of the Prevention of Money Laundering Act (PMLA) has been widened and revenue earned by committing such crimes is proceeds of crime as defined in the law, the NGT said.
The green panel was hearing a petition claiming that Uppal Chadha Hi Tech Developers Pvt. Ltd. was violating environmental norms in its Hi-Tech township across 14 villages in Ghaziabad and Gautam Buddha Nagar districts of Uttar Pradesh.
A bench comprising Chairperson Justice a K Goel noted that the project proponent (PP) violated several environmental norms and remedial action for the restoration of the environment required the proponent to pay environmental compensation on the basis of the polluter pays principle. The bench also comprising Judicial Member Justice Sudhir Agarwal and Expert Member A Senthil Vel computed environmental compensation at 0.75 per cent of the total project cost.
"Environmental compensation of Rs 113.25 crore shall be paid by the PP, and be deposited with the Uttar Pradesh Pollution Control Board (UPPCB) within three months," it said. Punitive action such as criminal prosecution would also be justified against the PP, the bench said.