NGT raps AOL for not paying Rs.4.75 cr compensation

The National Green Tribunal has come down heavily on Sri Sri Ravi Shankar's Art of Living (AOL) foundation for not depositing environment compensation of Rs 4.75 crore imposed on it for damaging Yamuna's biodiversity during its three-day 'World Culture Festival' in March, saying it was "wilful violation" of its undertakings.
The Tribunal made it clear that corporate entity cannot be used to promote irregularities.
"In the present case, application filed by Foundation lacks bonafides. There is not an iota of averments in the application, forming justifiable cause or good season as to why the Foundation did not comply with its undertakings and deposited the remaining amount within the time allowed by the Tribunal, on the own request of the Foundation.

"We have noticed that the conduct of the Foundation is certainly not worthy of any appreciation. Today furnishing of a Bank Guarantee is subject to deposit of money, if the Foundation can deposit the amount with the banks, then why not with the concerned authorities as directed, vide order dated March 9, 2016," a bench headed by NGT Chairperson Justice Swatanter Kumar said.
The tribunal said it would even lift the "corporate veil" and find "real substance" of the matter while examining the case to ascertain the truth.
"The concept of corporate entity cannot be used to encourage and promote irregularities. Under the colours of holding a cultural event, the Foundation could not have caused irreparable damage to the environment, ecology and biodiversity of the river, particularly, the flood plain.

"The intent of the Foundation lacked bonafides while giving undertakings to the Tribunal, is evident from the records before the Tribunal and the conduct of the Foundation. In not depositing the amount, the Foundation has committed willful violation of its undertakings and assurances given at the bar," it said.

The green panel on March 9 had refused to prohibit the three-day 'World Culture Festival', held by AOL between March 11 and 13, but asked it pay a compensation of Rs 5 crore for damaging biodiversity and aquatic life of Yamuna.
The green panel said that the AOL Foundation has enjoyed

and derived the benefits of the order while disowning the liabilities and "preferred to enter into multiplicity of litigation rather than comply with its undertaking".
"Except for the wimp of the Foundation, we are unable to see any cause for non-compliance of the undertaking and assurances given to the Tribunal. The Foundation has enjoyed and derived the benefits of the order while disowning the liabilities arising therefrom. It preferred to enter into multiplicity of litigation rather than comply with its undertaking which is unequivocal and unconditional. It amounts to circumventing of law.
"Though the uncalled statements allegedly made to the print and electronic media by the Foundation were completely disowned during the course of hearing but the subsequent actions of the Foundation are rather in conformity with such statements, than in line with intent to comply with the voluntary, unequivocal and unconditional undertaking given to the Tribunal by the Foundations and its office bearers," the bench said.

It said that the AOL foundation and its Trustees have failed to abide by the solemn and voluntary undertaking given to the Tribunal and "enjoyed the benefits of holding an event without discharging its liabilities".
It further rapped the foundation for not cleaning the debris and other waste on the Yamuna floodplains after the completion of the three-day cultural festival.
"Though the Foundation had clearly taken a stand before the Tribunal that it would clean the entire debris and even remove the construction material from the food plain of river Yamuna, it did nothing of the sort.
"It was reported that when the Inspection Team on behalf of the Principal Committee went for inspection, they were not only obstructed; but also not permitted to conduct the inspection.

"Even in this manner the Foundation has obstructed compliance of the orders of the Tribunal. Besides all this, the Foundation is also guilty of withholding correct facts from the Tribunal," it said.