The Supreme Court today asked the Gujarat High Court Chief Justice to register a suo motu case for identification of victims of the 2022 industrial accident in Gujarat and payment of compensation to them.

A bench of CJI Surya Kant, Justice Joymalya Bagchi and Justice V Mohana passed the order, after being informed that an amount of Rs. 3.27 crores was lying deposited with the court registry, which had to be disbursed to the victims/families but the victims/families could not be identified.

Until the victims/families are identified, the Court directed its Registry to renew for one year the Fixed Deposit in which the amount is lying. Upon verification of the beneficiaries, it said, the High Court shall send the beneficiaries' particulars to the Supreme Court Registry, alongwith a requisition. The SC Registry will then transfer the amount to the High Court for disbursal.

"The earlier inability to trace the beneficiaries cannot defeat, or indefinitely postpone, disbursal. We cannot accept the bald-faced plea taken by the appellant-company that the claimants are not traceable. A Court-supervised exercise is necessary to identify them, verify their entitlement and facilitate payment", the Court noted.

The purpose of the suo motu proceedings before the High Court was indicated as follows:

"(i) identifying the injured persons referred to in paragraph 111 of the NGT judgment and the legal heirs of the three deceased employees referred to in paragraphs 108 and 109 thereof;

(ii) verifying their identity and entitlement and, where necessary, determining the inter se shares of the legal heirs, without reopening the quantum of compensation awarded by the NGT;

(iii) obtaining such records and assistance as may be required from the appellant-company, the relevant authorities and the District Legal Services Authority, Bharuch, and directing publication of notices if considered necessary; and

(iv) disbursing the amounts due to each verified beneficiary, together with the proportionate interest accrued thereon (if any), in accordance with the NGT judgment and the directions contained in this order."

The order was passed in a miscellaneous application registered based on an office report in Bharat Rasayan Ltd.'s appeal against the NGT order. The said appeal was disposed of the Supreme Court in August finding no ground for interference.

Background

In 2022, an industrial accident occurred at the Dahej industrial plant of PSU-Bharat Rasayan Limited which resulted in the death of 8 people and injuries to several others. A blast at the site triggered concerns about toxic emissions and chemical contamination.

In May 2024, the National Green Tribunal directed a payment of Rs.13.5 crores as environmental compensation by Bharat Rasayan. As per the NGT's directions, the compensation amount was to be utilized by the Gujarat Pollution Control Board for restoration of the environment and improvement measures in a 10km radius of the plant.

The NGT order also directed additional compensation of Rs.2,75,92,936/- to the legal heirs of 3 deceased employees and a compensation of Rs. 17.6 lakhs to injured persons. Challenging the NGT order, Bharat Rasayan filed an appeal before the Supreme Court.

The Supreme Court ordered the PSU to comply with the NGT directions, but it took the stand that the victim-claimants could not be traced. As such, the Court directed as an ad-hoc measure that the additional compensation amount imposed by the NGT, alongwith 7% interest, be deposited with the SC Registry (to be placed in an interest-bearing FD).

Thereafter, the Gujarat Pollution Control Board filed an affidavit before the Court stating that it had formulated a proposal for scientific utilization of the compensation amount. When the appeal was finally disposed of, finding no ground for interference, no direction was given towards utilization of the compensation amount lying with the Court Registry. This led to the present miscellaneous application.

Case: THE MANAGING DIRECTOR M/S BHARAT RASAYAN LIMITED (UNIT-II) v. ADITYA ROOP SINGH CHAUHAN, MA 2714/ 2026

Click here to read the order