Supreme Court Sets Aside NGT Order for Lack of Due Process in Environmental Case

Introduction

Date of the Judgment: January 30, 2024
Citation: 2024 INSC 89
Judges: Pamidighantam Sri Narasimha, J. and Aravind Kumar, J.
Can a judicial body impose penalties and direct actions against parties without giving them a chance to be heard? The Supreme Court recently addressed this critical question regarding procedural fairness in a case concerning environmental violations. The Court examined whether the National Green Tribunal (NGT) could issue orders without first notifying and hearing the affected parties. The Supreme Court bench comprising Justice Pamidighantam Sri Narasimha and Justice Aravind Kumar set aside the orders of the NGT, emphasizing the importance of due process and the principles of natural justice.

Case Background

The case originated from a suo motu proceeding initiated by the National Green Tribunal (NGT). The NGT, based on a Joint Inspection Report, found the appellants to be operating without statutory consents in a non-conforming area, without safety precautions, and endangering the life and health of others. The NGT, without issuing any prior notice to the appellants, directed them to pay compensation and further directed statutory authorities to take action against them. The appellants, aggrieved by this order, filed a review petition, which was also dismissed by the NGT. The appellants then approached the Supreme Court.

Timeline

Course of Proceedings

The National Green Tribunal (NGT) passed an ex parte order against the appellants without issuing any prior notice. The NGT considered it unnecessary to hear the appellants before passing the order, relying solely on a Joint Inspection Report. The appellants filed a review petition against the order, which was also dismissed by the NGT. The Supreme Court noted that the NGT’s practice of passing ex parte orders and then dismissing review petitions has become a recurring issue. The Supreme Court emphasized that the NGT must ensure procedural integrity and provide a fair opportunity to the affected parties to present their case.

Legal Framework

There is no specific legal framework discussed in the judgment. The judgment is based on the principles of natural justice.

Arguments

The appellants argued that they did not receive any notice or opportunity to present their case before the NGT passed the order against them. They contended that the NGT’s decision was based solely on a Joint Inspection Report, without giving them a chance to defend themselves. The appellants emphasized that this was a violation of the principles of natural justice. The NGT, on the other hand, did not present any specific arguments in the judgment, as the matter was decided based on the lack of due process.

Issues Framed by the Supreme Court

The primary issue framed by the Supreme Court was:

1. Whether the National Green Tribunal (NGT) could pass an order without issuing notice to the affected parties and providing them an opportunity to be heard.

Treatment of the Issue by the Court

The following table demonstrates as to how the Court decided the issues

Authorities

The Supreme Court referred to the following authority:

Judgment

Singrauli Super Thermal Power Station v. Ashwani Kumar Dubey & Ors., (2023) 8 SCC 35* was used to show that the Tribunal’s practice of not providing an opportunity of hearing to the affected party was a recurring issue.

What weighed in the mind of the Court?

The Supreme Court’s decision was heavily influenced by the need to uphold procedural integrity and the principles of natural justice. The Court emphasized that it is essential for the NGT to provide a fair opportunity to all affected parties to present their case before passing any order. The Court was also concerned about the recurring pattern of the NGT passing ex parte orders and then dismissing review petitions, which undermined the credibility of the Tribunal’s actions.

The Court stated, “It is imperative for the Tribunal to infuse a renewed sense of procedural integrity, ensuring that its actions resonate with a harmonious balance between justice and due process.” The Court also noted, “The practice of ex parte orders and the imposition of damages amounting to crores of rupees, have proven to be a counterproductive force in the broader mission of environmental safeguarding.” Furthermore, the Court observed, “It appears that the appellants did not have a full opportunity to contest the matter and place all their defenses before the Tribunal.”

Key Takeaways

• The National Green Tribunal (NGT) must adhere to the principles of natural justice and provide a fair hearing to all parties before passing any order.
• Ex parte orders without proper notice and opportunity to be heard are not permissible.
• The NGT must ensure procedural integrity in its decision-making process.
• The Supreme Court has emphasized the need for a balance between environmental protection and due process.
• The NGT should avoid a recurring pattern of passing ex parte orders and dismissing review petitions.

Directions

The Supreme Court directed the National Green Tribunal (NGT) to:

• Issue notices to all necessary parties.
• Hear them in detail.
• Pass appropriate orders uninfluenced by the previous orders.

Specific Amendments Analysis

There is no specific amendment analysis in this judgment.

Development of Law

The ratio decidendi of this case is that the National Green Tribunal (NGT) cannot pass an order without issuing notice to the affected parties and providing them an opportunity to be heard. This judgment reinforces the importance of due process and natural justice in the Indian legal system. It reiterates that all judicial and quasi-judicial bodies must ensure that all parties have a fair opportunity to present their case before any adverse orders are passed against them. This judgment does not change the previous position of law, but rather reinforces it.

Conclusion

The Supreme Court set aside the orders of the National Green Tribunal (NGT) due to the lack of due process and the violation of the principles of natural justice. The Court emphasized that the NGT must provide a fair opportunity to all affected parties to present their case before passing any order. The matter was remanded back to the Tribunal with directions to issue notices to all necessary parties, hear them in detail, and pass appropriate orders.