NEETU SOLVENTS versus VINEET NAGAR & ORS.

NEETU SOLVENTS versus VINEET NAGAR & ORS.

The appeals are allowed and the NGT orders directing closure of the appellant formaldehyde manufacturing units are set aside because the units were established and operated pursuant to CTE and CTO granted by the respective PCBs, the PCBs were under a misconception about the need for prior EC, the units applied for EC within the time directed by PCB office orders and the EC process remains pending; accordingly the ratio of Pahwa Plastics applies and the units shall be allowed to operate pending a decision on their EC applications.

Parties
Appellant: Neetu Solvents; Respondent: Vineet Nagar & Ors.
Jurisdiction
India
Judgment Date
06 May 2026
Procedural Posture
Civil Appeal / Final Judgment on Appeal (supreme Court)
Outcome
Appeals allowed
Legal Topics
Environmental Clearance, EIA 2006 Notification, Consent to Establish, Consent to Operate, Pollution Control Board, Ex Post Facto Environmental Clearance, Formaldehyde Manufacturing Units
Environment Environmental Clearance EIA 2006 Notification Consent to Establish Consent to Operate Pollution Control Board Ex Post Facto Environmental Clearance Formaldehyde Manufacturing Units

Case Brief

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Parties

Neetu Solvents

Appellant

Vineet Nagar & Ors.

Respondent

Procedural Posture

Civil Appeal / Final Judgment on Appeal (supreme Court)

Legal Issues

  1. 1 Whether the direction of closure of appellant units issued by the NGT is liable to be set aside
  2. 2 Whether the judgment in Pahwa Plastics applies to the facts of these appeals

Ratio Decidendi

The appeals are allowed and the NGT orders directing closure of the appellant formaldehyde manufacturing units are set aside because the units were established and operated pursuant to CTE and CTO granted by the respective PCBs, the PCBs were under a misconception about the need for prior EC, the units applied for EC within the time directed by PCB office orders and the EC process remains pending; accordingly the ratio of Pahwa Plastics applies and the units shall be allowed to operate pending a decision on their EC applications.

Court Disposition

Appeals allowed

Orders

  • Appellant units established and operated pursuant to CTE and CTO granted by the respective PCB shall be allowed to function and operate.
  • Respondent shall take a decision on the applications of the appellant units for EC in accordance with law within one month, if not already taken; pending such decision the operation of the appellant units shall not be interfered with, if not otherwise required.