Thirumulpad, Environment Awareness Forum Vs. Union of India & Ors  INSC 220 (15 April 1998)
Anand, B.N. Kirpal
W.P. (C) No. 171/96 THE 15TH DAY OF JANUARY, 1998 Present:
the Chief Justice Hon'ble Mr. Justice A.S. Anand Hon'ble Mr. Justice B.N. Kirpal
Mr. Ashok Desai, Attorney General, Mr. A.K.Goel, Addl, Advocate, General Mr. Harish
N.Salve, Mr. N.N. Goswami, Mr.Rajiv Doawan, Mr. Shanti Bhushan, Mr. Dipankar P.Gupta,
Mr. H.Nabakumar Singh, Mr. Prashant K.Goswami, Mr. Anil B.Diwan, Mr. G.l.Sanghi,
Mr. T.L.V.Iyer, Mr. Jayant Das, Mr. Tapas C. Roy., Mr. P.K. Aggarwal, Sr.
Advocates, Mr. U.U. Lalit, Ms. Meenakshi Sakharande, Mr. A.D.N.Rao, Mr. P. Parmeswaran,
Mr. S.Wasim A. Qadri, Mr. Sushma Suri, Mr. U.Hazarika, Mr. S.R. Hedge, Mr. Saikia,
Mr. A.S. Bhasme, Mr. Zailre Angami, Mr. C.K. Sasi, Mr. Kailash Vasdev, Mr. Gopal
Singh, Mr. h. Wahi Mr. S. Hazarika, Ms.Nelithono Rhetso, Mr, K.H. Nobin Singh, Ms.S.
Janani, Mr. Ranjan Mukherjee, Mr. Rajiv Mehta, Mr. Anil Agarwalla, Mr. P.C.Sharma,
Mr. Gujarmal, Mr. K.M.K. Nair, Mr. M.L. Lahoty, Mr. Himanshu Shekhar, Mrs. Madhur
Dadlani, Mr. S.K. Agnihotri, Mr. Aruneshwar Gupta, Mr. G.Prakash, Ms.Beena Prakash,
Mr. R.K. Mehta, Mr. B.S. Chahar, Mr. Ashok Mathur, Mr. Jasbir Malik, Mr. P.P. Malhotra,
Mr. K.R.Nagaraja, Mr. K.K.Tyagi, Ms. A.Subhashini, Mr. R.B. Mishra, Mr. Kamlendra
Mishra, Mr.H.K. Puri, Mr. Ujjwal Banerjee, Mr. K.B.Rohtagi. Ms. Aparna Rohtagi
Jain, Mr. S.M. Jadhav, Mr. D.M. Nergolkar, Mr. R.S. Sodhi, Mr. B.B. Singh, Mr. G.M.Kawoosa,
Mr. A. Mariarputham, Ms. Aruna Mathur, Mr. Rana Mukherjee, Ms. Sumita Mukherjee,
Mr. Goodwill Indeevar, Mr. Maheer Vyas, Mr. P.K. Nanohar, Mr. D.N. Misra , Mr.Parag
P. Tripathi, Mr. Vijay Panjwani, Mr. D.N. Goburdhan, Ms. Pinky Anand, Mr. M.N. Shroff,
Ms. Shabnam Lone, Ms Purnima Bhat, Mr. R. Sasiprabhu, Mr. Manish Garg, Mr. Anees
Ahmad, Mr. P.H. Parekh, Mr. Sameer Parekh, Mr. Zafar Shah, Ms. Rekha Palli, Ms.
Indu Malhotra, Mr. S.K. Bhattacharya, Mr. S.K. Dhingra, Mr.Ashok K. Srivastava,
Mr. Umesh Bhagwat, Mr. Sanjay R.Hegde, Advocates with them for the appearing
O R D
following order of the Court was delivered:
WRIT PETITION (C) NOT. 171 OF 1996 Learned Attorney General submits that the
perception of the Ministry of Environment and Forests is as under:
has been estimated by the HPC that about 1.20 lakhs cubic meters of illicitly
felled seized timber, belonging to the State Governments is lying in the
forests and depots for varying periods of time between 1 to 2 years and is
thereby getting degraded on account of decay and rotting of the wood. It is
necessary to dispose it off at the earliest to minimise any further loss in the
monetary value. There is, in addition, considerable quantity of timber claimed
by the private industry and local people. In view of the approaching monsoon
season (April 98) all such timber needs to be disposed off with urgency to save
further loss in quality, as also in value, albeit with proper checks and
Given the weak infrastructure in the North-Eastern region, it does not seem
feasible to transport such huge quantities of timber for auction in markets
outside the region in a short time. Moreover, there would be uncertainty of the
response in timber markets far away from the source of timber which has been
subject to elements of degradation in varying degrees. There is also the
likelihood of local resentment, in an otherwise sensitive area, if all such
material is removed from the region without processing and value addition,
which could be conceived as creating an adverse effect on the region's economy.
Even though the proliferation of wood-based industries has been the main cause
of degradation of forests in the North-Eastern States, considering the extent
of forests (64% of the geographical area) and the dependence of the local
people on the forest resources in the region it is neither feasible, nor
desirable, to ban completely either the timer trade or running of the wood
their numbers and capacities need to be regulated qua the sustainable
availability of forest produce and they are also required to be relocated in
specified industrial zones. Moreover, the industrial requirements have to be
subordinated to the maintenance of environment and ecology as well as bonafide
There shall be no fresh fellings in the forests belonging to the Government,
District and Regional Councils till the disposal of their existing stocks of
legal and illegal timber.
view of the multidimensional issues impinging upon forest protection, foolproof
institutional arrangements need to be put in place, and made functional under
the strict supervision of the North-East Council (NEC).
backstopping in the forestry matter will be provided by MoEF by opening a
separate cell in the Ministry under an officer of the rank of CCF and starting
a satellite office of the Forest Survey of India at Shillong.
appreciate the perception of MoEF as reflected by the learned Attorney General.
have heard the amicus curiae, the learned Attorney General and learned counsel
for North-Eastern States. In view of the report of the High Power Committee and
taking into account the factors which require an order to be made by the Court
for disposal of the felled timber and ancillary matters which are lying in the
North-Eastern States, we consider it appropriated to make the following order:-
Disposal o timber shall commence only after the concerned Principal Chief
Conservator of Forests irrevocably certifies that inventorisation of all felled
timber in the State has been completed.
a first measure all inventorised timber, including seized timber lying in the
forests should be immediately transported to specified forest depots.
illegal/illicit timber found in possession of an offender or abandoned in the
forest shall be confiscated to the State Government and shall be disposed off
in accordance with the procedure to be adopted for disposal of Government
of the seized timber, logs found suitable for manufacture of veneer and plywood
shall be processed by the State Governments within their own factories and by
hiring such facilities. The finished product can be marketed freely.
remaining timber belonging to Government and District Councils shall be first
offered for sale to Government Departments for their bonafide official use and
the rest shall be sold in public auction or through sealed tenders after fixing
floor price by an Expert Committee with representative from the MOEF. Private
timber owners whose stocks have been cleared by HPC shall have the option of
selling the timber either in the auctions organised by the State Forest
Departments/Forest Development Corporations or directly.
State Governments shall formally notify industrial estates for locating the
wood based industrial units in consultation with the Ministry of Environment
Timber as per inventory cleared by HPC may be allowed to (a) be converted/utilised
if the unit is located within the notified industrial estate. As the relocation
in proposed industrial estates may take some time, existing units with only
legal stocks may convert this timber, as one time exception, notwithstanding
anything contained in para 12 hereunder, till such stocks last subject to the
maximum period as per the norms prescribed by the High Power Committee (vide
their III report) or six months whichever is less. Any stock remaining
thereafter shall vest in the state Government. However, fresh trees/Timber will
be allotted to these units only when they start functioning within the
designated industrial estates. The territorial Deputy Conservator of
Forests/Divisional Forest Officer shall be responsible for ensuring that such
units process the legal stocks only and will closely monitor the various
transit permits (inward and outward) and maintenance of the prescribed records.
All such records shall be countersigned (with date) by an officer not less than
the rank of an Assistant Conservator of Forests.
to be sold to other units which are located in these industrial estates subject
to the condition that such transactions are routed through an authority
notified/constituted by the Principal Chief Conservator of Forests.
The state Governments shall ensure disposal of illegal timber before permitting
the conversion/disposal of legal/authorised timber available with the wood
Transportation of auctioned timber (as well as legal timber) including sawn
timber outside the North-Eastern Region shall only be done through railways
under the strict supervision of the Forest Department. The Railway Board shall
give Priority for Providing rakes/wagons for such transportation.
Modalities for transportation of timber/timber products and alternative modes
in case of difficulties in transportation by Railways, will be worked out by
the State Governments in concurrence of the Ministry of Environment and
Existing inventorised stock of timber originating from plantations in private
and community holdings in the States of Meghalaya, Mizoram, Tripura, Manipur
and Nagaland may be disposed of by their owners under the relevant State laws
and rules. In States where such laws and rules do not exist, the necessary laws
and rules may be framed within six months.
The state Governments shall ensure that timber/forest produce is supplied to
industries including Government Undertakings, at full market rate. The existing
royalty shall be reviewed and revised upwardly by a committee constituted under
the Chairmanship of Principal Chief Conservator or Forests with representatives
from the concerned Departments and shall also include a representative of
ministry of Environment and forest. The prices of timber for which royalty has
not been realized in full shall also be reviewed by this committee and the
concerned industry shall be required to pay the revised price or the royalty
(including surcharge, fee etc.,) whichever is higher after deducting the part
royalty already paid.
Licenses given to all wood based industries shall stand suspended.
Wood based industries which have been cleared by the High Power Committee
without any penalty shall have the option to shift to industrial estates which
shall be identified by the states within 45 days and developed within six
Units which have been penalised because they were found to exceed normal
recovery norms, but were within 15% of the said norms, will have a right to
approach the High Power Committee on or before 9th February 1998. The High Power Committee shall examine all relevant
material, in particular the income tax and excise records for the preceeding
three years. The High Power Committee shall dispose of all such applications
within 45 days thereafter and such mills may be granted licence if the High
Power Committee finds that it is not against public interest so to do.
which have not furnished details/information to the High Power Committee so far
or which have not been cleared by the High Power Committee, shall not be
granted any licence and the stock in their custody if any, shall be confiscated
to the state Government. In case of leased mills belonging to
corporations/trusts/cooperative societies owned/controlled/managed by the State
Government and where the lessees have been penalised by the High Power
Committee, the leases shall stand revoked. Such mills shall, however, be
eligible for relicensing subject to the condition that these mills are not
leased out in future except to a entity fully owned by the Government.
Units who do not want to shift to the designated industrial estates shall be
allowed to wind up as per law.
Henceforth, licenses of units shall be renewed annually only in those cases
where no irregularity is detected.
There shall be a complete moratorium on the issue of new licenses by the State
Governments or any other authority for the establishment of any new wood based
industry for the next five years after which the situation shall be reviewed
with the concurrence of Ministry of Environment and Forests.
Number of wood based industries shall be determined strictly within the
quantity of timber which can be felled annually on sustainable basis as
determined by the approved working plans from time to time . If t is found that
units after relocation in industrial estate have excess capacity then their
capacities shall be reduced pro rate to remain within the sustainable levels.
action plan shall be prepared by the Principal Chief Conservator of Forests/Chief
Forest Officer for intensive patrolling and other necessary protective measures
to be undertaken in identified vulnerable areas and quarterly report shall be
submitted to the Central Government for approval. The approved plan together
with the modifications, if any, shall be acted upon.
ensure protection of the forest wealth the forest officers in the North Eastern
States may be empowered with authority to investigate, prosecute and confiscate
on the lines of the powers conferred on the forest officers in many other
States in the country.
The State Government shall be responsible for providing all facilities
including security and police force to strictly enforce forest protection
measures to stop illicit felling, removal and utilisation of such timber. The
Chief Secretary shall review the various matters concerning forest protection
and development in his State at least once every six months with senior forest officers
upto the rank of Conservator of Forests. Regional Chief Conservator of Forests
of MoEF shall be invited to all such meetings.
Management of Forest 23.Working Plans for all forest division shall be prepared
by the Sate Governments and got approved from the Government of India. Forest
working shall be carried out strictly in accordance with the approved
prescriptions of the working plans. The working plans should be prepared within
a period of two years. During the interregnum the forests shall be worked
according to an annual felling programme approved by the MoEF which shall be
incorporated in the concerned working plan. In case a working plan is not
prepared within this time frame, future fellings will remain suspended till the
regular working plan is prepared and got approved.
The forests under the District, Regional and Village Councils shall be worked
in accordance with working schemes which shall specify both the programme for
regeneration and harvesting and whose period shall not be less than 5 years.
The maximum permissible annual yield in the ad interim measures suggested
above, shall not exceed the annual harvestable yield determined by Ministry of
Environment and Forests. The plantation schemes raised on private and community
holdings shall be excluded from these requirements but shall be regulated under
respective State rules and regulations.
The States shall identify ecologically sensitive areas in consultation with
leading institutions like the India Council of Forestry Research and Education,
Wildlife Institute of India, North Eastern Hill University, North Eastern
Regional Institute of Science and Technology, leading NGOs. etc., and ensure
that such areas are totally excluded from any kind of exploitation. The minimum
extent of such areas shall be 10% of the total forest area in the State.
The State Government shall identify within 45 days all those forest divisions
where significant illegal fellings have taken place and initiate
disciplinary/criminal proceedings against those found responsible. The first
action taken report (ATR) in this regard shall be submitted to the Central
Government within three months which shall be followed by quarterly reports (QRs.)
till the culmination of the matter.
Timber extraction in forests irrespective of ownership, except in private
plantations, shall be carried out by a State agency only. The States shall
endeavor to adopt pattern obtaining in the State of Himachal Pradesh as described in para 2.5.3 of the Rajamani
there be any local laws/customs relating to the forest in any State. the
concerned State Government may apply to this Court for the needed modification,
if any, with alternative proposal.
The penalties levied on the wood based industries as ordered by the High Power
Committee shall constitute the revolving fund to meet the expenses involved in
collection and transportation of seized illegal timber. These can be augmented
by utilising the funds generated by the initial sales of illegal timber already
available in the forest depots.
Each State shall constitute a State level Expert Committee for matters
concerning the preparation of working plans, their implementation, development
of industrial estates, shifting of industrial units to these estates, rules and
regulations regarding the grant and renewal of licenses to wood based industry
and other ancillary matters, under the chairmanship of principal Chief
Conservator of forests and with a nominee of Ministry of Environment and
forests as one of its members. Any decision of this committee which is not
acceptable to the State Government shall be referred to the Central Government.
The existing permit system in Arunachal Pradesh shall stand abolished. The
State Government may provide financial assistance in case or kind in the form
of timber only for the bonafide use of the local tribals alone. Such concessional
timber shall not be bartered or sold. Felling of trees for such purpose shall
be carried out only by Government agency.
The total sale proceeds from the sale of seized timber, as well as timber
products manufactured and disposed by the State Government (vide para 4) and
penalties would be credited to the State Revenues. Out of this, the State shall
utilise one half of the amount for as assistance to the tribals. population and
as assistance to the tribals. The remaining one half of the total sale
proceeds, after deduction of the expenses therefrom, would go to the State
coffers for other developmental activities in the State.
The States shall ensure that sufficient budgetary provisions are made for the
preservation of biodiversity and protection of wildlife.
ensure that timber/forest produce smuggled across the border may not be used as
a cover for trade in illegal timber, it is directed that all such timber seized
by Customs/Border security Force should not be redeemed in favour of
individuals who are smuggling it but should be confiscated and handed over to
the concerned State Forest Department along with offenders, vehicles, tools and
implements for prosecution under the relevant acts.
For the proper and effective implementation of these order, Ministry of
Environment and Forests will have the liberty to issue suitable directions
consistent with this order.
Action taken report be filed by each State Government and the Ministry of
Environment and Forests every two months.
Liberty to apply for modification/clarification in case of need.