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Madras High Court Orders Re-export of Prohibited Municipal Waste Imported Under Guise of Waste Paper

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Madras High Court Orders Re-export of Prohibited Municipal Waste Imported Under Guise of Waste Paper

M/s. Sripathi Paper and Boards Pvt. Ltd. and M/s. Rajarajeswari Krafts Pvt. Ltd. directed to comply with international treaty obligations; liable for penalties and costs.


In a significant judgment by the Madras High Court's Madurai Bench, M/s. Sripathi Paper and Boards Pvt. Ltd. and M/s. Rajarajeswari Krafts Pvt. Ltd. have been ordered to re-export prohibited municipal solid waste that was imported under the guise of waste paper. The court found the importation to be in violation of the Hazardous and Other Wastes (Management and Transboundary Movement) Rules, 2016, and international obligations under the Basel Convention.


The case involved the importation of municipal waste declared as Waste Paper - News & Pams from Canada and the USA, which upon inspection was found to contain various prohibited materials such as PET bottles, plastic parcels, and broken glass bottles. The Tamil Nadu Pollution Control Board confirmed these findings, resulting in the seizure of the goods.


The petitioners claimed they had ordered waste paper and expressed willingness to re-export the cargo. However, the adjudicating authority concluded that the import was deliberate and not inadvertent, imposing penalties and ordering the re-export at the petitioners' cost.


The court emphasized the mandatory requirement under Rule 15(2) of the Hazardous and Other Wastes Rules, 2016, and Article 9(2) of the Basel Convention to return such waste to the country of origin. It rejected the petitioners' plea to divert the waste to Dubai as legally untenable and contrary to public policy and international treaty obligations.


The judgment also highlighted the issue of "waste colonialism," where developed countries attempt to dump hazardous waste in developing nations, undermining environmental justice and sovereignty. The court underscored India's commitment to its international obligations and directed the petitioners to complete the re-export within 60 days, failing which they would incur environmental compensation and face potential criminal prosecution under the Environment Protection Act, 1986, and Bharatiya Nyaya Sanhita, 2023.


Furthermore, the court addressed the liabilities for detention and demurrage charges, ruling that the petitioners are responsible for these costs, although the shipping liner agreed to waive a significant portion of the charges as a concession.


This judgment serves as a stern reminder of the stringent enforcement of environmental laws and international commitments, urging proactive measures to prevent the illegal importation of hazardous waste into India.


Bottom line:-

Import of municipal solid waste under the guise of waste paper violates the Hazardous and Other Wastes (Management and Transboundary Movement) Rules, 2016, and international treaty obligations under the Basel Convention. Re-export of such waste to the country of origin is mandatory. Failure to comply with re-export orders may attract environmental compensation and criminal prosecution under the Environment Protection Act, 1986, and Bharatiya Nyaya Sanhita, 2023.


Statutory provision(s): Environment Protection Act, 1986, Hazardous and Other Wastes (Management and Transboundary Movement) Rules, 2016, Basel Convention, Customs Act, 1962, Bharatiya Nyaya Sanhita, 2023 Section 152, Handling of Cargo in Customs Areas Regulations, 2009, Sea Cargo Manifest and Transhipment Regulations, 2018


M/s.Sripathi Paper and Boards Private Limited v. The Commissioner of Customs, (Madras)(Madurai Bench) : Law Finder Doc id # 2927393

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